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EXEMPTION CLAUSE

EXEMPTION CLAUSE. Deposit goods in a locker Bus ticket Parking lot Cinema Buy a hand phone. Exempted a party from liabilities Brought to the customer’s attention at the time of making the contract Consumer has no time/energy to read the printed words

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EXEMPTION CLAUSE

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  1. EXEMPTION CLAUSE

  2. Deposit goods in a locker • Bus ticket • Parking lot • Cinema • Buy a hand phone

  3. Exempted a party from liabilities • Brought to the customer’s attention at the time of making the contract • Consumer has no time/energy to read the printed words • If reads, would probably not understand • Dispute arises, the rights have been excluded

  4. REQUIREMENTS • Notice must be contemporaneous / simultaneous with the contract • Notice must be reasonably sufficient

  5. contemporaneous • To be effective, it must be brought before or at the time of the agreement. • If not, the notice cannot be enforced by the court.

  6. Olley v Marlborough Court Ltd • The ptf & her husband booked a hotel room and paid for a week’s lodging in advance • At the hotel, they saw a notice “not responsible for any loss…” • Due to the negligence of the staff, a thief went into the room and stole some of their properties. • Held: the notice was not part of the contract

  7. Goh Gok Hoon v Eusoff Bros S/B • The app. let premises out to the resp. • No written agreement. Only a letter of acceptance from 1st resp and receipts issued to the 1st resp. • The receipts stated a prohibition to sublet the premises. • The app claimed for vacant possession on the ground that resp had sublet the premises.

  8. Reasonably sufficient • If the party knew that there was writing condition on the ticket, but did not know or believe that the writing contained conditions, he will nevertheless be bound if the party seeking to rely on the clause has done what was reasonably sufficient in the circumstances to bring it to his notice.

  9. Parker v. South Eastern Rly Co • Deposited a bag. • Received a ticket, stated below “see back” • Limit the liability for any damage to $10. • The bag was lost and the plaintiff claimed $24 10s.

  10. Thomson v. LM & Rly Co • On the face of the ticket was written words “For conditions see back” • Contained a condition exempting the company from liability for injury. • Due to the negligence of the railway co, the ptf was injured

  11. Richardson, Spence & Co v. Rowntree • Bought a ticket, contained a number of printed terms including one limiting the liability of the deft to $100. • The ticket was handed to her folded up • The conditions were obliterated in part by a stamp in red ink

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