Walter owns a small supermarket in Derby. He contracts with International Foods Ltd for the provision of ice cream snacks which he will sell in his shop. Under the contract, Walter may lease an ice-cream freezer on a very favourable term. Clause 203 of the contract, which Walter has signed but has not read in detail, states: 'In the event of any repairs, the lessee will be required to ship the freezer to the lessor and bear all shipment costs'. In the middle of the summer, the freezer breaks down and Walter asks International Foods to fix it. International Foods tells Walter to ship the freezer to their factory headquarters and reminds him that he must bear the shipment costs which are substantial. Is Walter bound by this clause?
A) Yes.
B) No, it has not been validly incorporated.
C) No, it is unreasonable and invalid under UCTA.
D) No, it is unfair and not binding under CRA.

Question

Quizplus · Accepted Answer

Walter is bound by the clause because he signed the contract, and signing generally indicates acceptance of all terms, regardless of whether he read them or not.

Walter Owns a Small Supermarket in Derby