C. THE UNFAIR CONTRACT TERMS ACT 1977 The basic purpose of UCTA 1977 is to restrict the extent to which liability in a contract can be excluded for breach of contract and negligence, largely by reference to a reasonableness requirement, but in some cases by a specific prohibition. S.6(2) states that as against a person dealing as consumer, liability for breach of the obligations arising from ss.13, 14 or 15 of the Sale of Goods Act 1979 (seller's implied undertakings as to conformity of goods with
clause is a specific kind of clause employed in a contract to exclude or limit the liability for breach of contract. The clause may be employed to rely on, if it has been incorporated into the contract and, with reference to the interpretation, if it is extended to the breach in question; if both the previous matters are corroborated, the clause validity is tested under the Unfair Contract Terms Act 1977 and the Unfair Terms in Consumer Contracts Regulation 1999. In our specific scenario the following
Afrosa’s contract with Foghorn cars. An explanation will be made of the legal rules which relate to implied terms and exclusion clauses with reference to the Unfair Contract Terms Act 1977 (UCTA 1977). Terms may be implied into a contract in three principle ways. Terms may be implied by statute, there are two main reasons for this interference. Firstly rules are implemented to protect parties where there may be inequality in bargaining power. An example of such legislation is the Sale of Goods Act 1979
exemption clause used in contracts. These types of clauses exclude a party’s liability completely but this can only happen in specific circumstances. Also when a party relies on an exclusion clause they must draft it properly. So exemption clauses are there to exempt the defendant from liability for certain breaches including negligence. Similarly a limitation clause seeks to limit the liability of the defendant for certain breaches like negligence. This is deemed unfair for consumers or the weaker
Employment Law The Unfair Dismissals Act 1977-2007 was set up to give clear guidelines on how an employer’s decision to dismiss an employee may be contested by an independent body. The main purpose of this Act is to shield employees from unfair dismissals. It also provides for an adjudication system and a redress system to those employees whose dismissals have been found to be unfair. This legislation does not prevent dismissals from occurring but only allows the employee to challenge their dismissal
The contract law has most common type of unfair terms namely, exclusion clauses, when one party seeks exclude their liability arising under the contract. True exclusion clause recognizes a potential breach of contract and then excuses liability for the breach. Alternatively, the clause is constructed in such a way it only includes reasonable care to perform duties on one of the parties. Arcadia's term mentioned is the type of true exclusion clause indicating the potential breach of contract about
statutory regulations in some areas. However, the Parliament as the supreme law-making body has the power to override or change current case law through the legislation but its power has been significantly weakened since signing the European Community Act in 1972. The membership covers some important areas as communication, trade and the human rights therefore influencing domestic law significantly. (OU, 2014, Unit 4) There is a debate about the prevailing role of a statute over the common law in the
entered into a contract after a misrepresentation has been made to him by another party thereto and as a result thereof he has suffered loss, then, if the person making the misrepresentation would be liable to damages in respect thereof had the misrepresentation been made fraudulently, that person shall be so liable notwithstanding that the misrepresentation was not made fraudulently, unless he proves that he had reasonable ground to believe and did believe up to the time the contract was made the
Discharge of a Contract There are four ways in which a contract may be discharged. Ø Agreement. Ø Performance. Ø Frustration. Ø Breach. 1. DISCHARGE BY AGREEMENT. A contract can be discharged in precisely the same way it was formed. Notice that there must be consideration from both sides. 2. DISCHARGE BY PERFORMANCE. Complete and proper performance will discharge both parties. The original rule was that performance must be precise and exact. Re Moore & Co Ltd and Landauer
contractual parties. However, the exclusion clauses could mostly be found in written contracts, especially standard form of contracts. Standard form contracts with consumers are often contained in some printed ticket, or delivery note, or receipt, or similar document. In practice, it is very common that if a person wants the product, he may have no alternative but to accept the terms drawn up by the other party even though such terms are disadvantage to him, or he may simply accept it regardless the possible
in order to avoid the possibility to be sued. An exemption clause is a term of a contract that seeks to either limit or exclude liability for breaches of the contract. They act as contractual defences . In order for an exemption clause to be fully incorporated into the Quanter Ltd contract, or for any contract for that matter, there are a number of essential elements that each contract must undertake in order to make the contract lawful an adequate e.g. incorporation by signature, incorporation by
Part I - Formation of Contracts A contract may be defined simply as a legally binding agreement. Alternatively, it may be defined as a promise or set of promises which enforces the law. Contracts may be classified as either bilateral or unilateral. A bilateral contract is one where a promise by one party is exchanged with each other based on trust. A unilateral contract is one where one party promises to do something (usually pay a sum of money) in return for an act of the other party. An offer
Goods and services may be supplied under a range of different contracts. The transfer of property in this case is said to fall under the Section 2(1) of the Sale of Goods Act 1979 which stated “A contract of sale of goods is a contract by which the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration, called the price.” Therefore, it is defined as a ‘contract of sale of goods’. Which is either for the (i) sale of specific goods or (ii) for the sale
circumstance where a person is induced to enter into a contract partly or entirely by untrue information made by the other party. Misrepresentation can lead to a contract to be voidable. Voidable contract means there is a valid contract whether is written or verbal. In any voidable contracts, a party has a choice whether to rescind or to continue with the contract. However, there are certain circumstances and elements of misrepresentation that can cause a contract to be voidable. Misrepresentation can occur
RESEARCH QUESTION Tracing back the history of the freedom of contract theory, is the freedom to enter into contract(s) truly free? HYPOTHESIS With the codification of contract law, parameters have been set for people who can and who cannot enter into contracts i.e. all persons cannot be parties to contracts or enter into contractual relations. It has also been specified about the types of contract one can enter into. Hence, there are restrictions on persons. 1. INTRODUCTION In the beginning
controlled to ensure the protection of the individual’s fundamental right to freedom. Therefore, when policy and lawmakers make a decision to criminalise an act, it is a declaration that the particular act is a “public wrong” that must be prohibited by the imposition of criminal penalties. The question is how far the law should go in criminalising certain acts without trampling on the fundamental human rights of the actors. Ideally, objective criteria should be used by the state, in striking the appropriate
classes at a local Salsa dance club. They used to go to ballroom dance classes at the same club some years ago. Because Salsa dancing has become so popular, they book the classes in advance. On the back of the receipt a printed clause says “For terms and conditions please see notices in the club”. On the inside of the club door a large notice is pinned up. The notice reads, “The club will not accept responsibility for any loss suffered by customers”. At their first dance class, the dance instructor
Legislation Health, Safety and Welfare at Work Act 2005 Health, Safety and Welfare are applicable both to the employer and the employee in the work place. The Health and Safety Authority (HSA) enforces Health and Safety procedures and monitors compliance. The HSA provide a number of services to employers, employees and the public, including: • workplace inspections and monitoring for compliance • investigations into serious accidents • providing information service • develop new laws and standards
This whole report is based on the case study about Winston Graham and Alan Daly. In which Alan Daly is selling white, Transit XL van to Graham. In this report I will explain about all the legal issues involved, express and implied terms, Sale of Goods Act, consumer and non – consumer sales, the exclusion clause and remedies. Introduction In the case of Winston Graham who is an accomplice in an expansive firm of Antique merchants, and Alan Daly who is the proprietor of Daly car sales ltd a business
in favour of this codification since two centuries, practitioners and business in the English community had always been afraid about this idea. To understand the context of this debate, I will, first, briefly explain what do we generally mean by the term ‘codification’. Then, I’ll take few points about the origins of English commercial law and describe its modern definition. Finally, I will outline the main arguments why I am against the proposition of a commercial