Chapter 8: Exemption clauses
Question 1Identify the existence of exemption clauses in these incidents and explain,
briefly, the nature of these clauses and the need to protect Kelly who, in this
situation, is a consumer.- Establish the factors which will be used to decide whether these clauses
will be valid: incorporation – Olley v Marlborough Court, Thornton v
Shoe Lane Parking, Parker v South Eastern Railway, Chapelton v
Barry, Sugar v LMS Railway, Hollier v Rambler Motors; construction- Glynn v Margetson,etc.; legislation – the Unfair Contract Terms Act
1977 and the Unfair Terms in Consumer Contract Regulations 1994.
- Glynn v Margetson,etc.; legislation – the Unfair Contract Terms Act
- Apply these to the facts regarding the injury and decide whether the
clause used by the art gallery is likely to be binding. - Apply these to the facts regarding the coat and decide whether the
clause is likely to be reasonable – Green v Cade, Smith v Bush, Photo
Production v Securicor.
Question 2This question is also a problem involving an apparent exemption of liability
for personal injury and an apparent exemption of liability for loss of a coat.
Use the material in Question 1 and apply it to Alison’s two problems.Question 3
This question involves similar material to the above problems but is a
straightforward essay on how the law deals with exemption clauses. You
should therefore explain the law and develop a critique in order to answer
the question.- Explain the factors that are likely to be taken into consideration by the
courts (as in Question 1). Remember that it must be established
whether the person making a claim is a consumer. - Consider the lengths to which the courts used to go in order to protect
the consumer – it was out of these efforts that the ‘rules’ of
incorporation and construction developed. - Consider the role played by parliament in taking the lead (eventually)
in protecting the consumer by the legislation on exemption clauses. - Evaluate the continuing role of the courts, in that (i) there is still a need
to enquire whether a term is incorporated, and (ii) the legislation
regarding exemption clauses needs to be interpreted and applied
(especially words such as ‘reasonable’).
Answers guide 305CHAR_Z01.QXD 14/9/07 10:01 Page 305