Exclusion Clause In Contract Law

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Introduction The central issue in this case was whether the exclusion clause was being successfully incorporated into the contract between Aaron and EFG Pte Ltd (“EFG”). Exclusion Clause An exclusion clause is a term that seeks to exclude or limit liability between parties in the event of contractual breach. It should be incorporated by signature [L’Estrange v Graucob (1934)], by notice [Olley v Marlborough Court Ltd (1949)] or by previous course of dealing [La Rosa v Nudrill Pty Ltd (2013)]. The clause has to be implied or expressed to the contracting party before or at the time where the contract was concluded. In Aaron’s case, the timing of forming the contract was vital. Aaron may argue that the exclusion clause was not incorporated in the contract, and thus he was not bound by it.…show more content…
As a result, the clause was not enforceable since the notice was seen in the guest room after the contract has made. In Aaron’s case, the term “EFG Pte Ltd shall not be liable for any loss or damage however caused to customers’ premises” was printed on the delivery note. It has handed over with the equipment to Aaron from EFG. And also, the clause was written on the back of the invoice by EFG and sent to Aaron after the equipment was delivered. In this scenario, the clause has brought to Aaron before and at the time when the contract was concluded. Therefore, Aaron was bound by the

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