Question 1

The signing of a written contractual agreement will usually mean that a party is bound by the exclusion terms in that contract.

Accepted Answer

When a party signs a written contractual agreement, they are agreeing to the terms and conditions outlined in the contract, including any exclusion clauses. As a result, they are bound by these exclusion terms.

Question 2

Which of the following cases show the courts applying the contra proferentem rule? A) Monarch Airlines Ltd. v London Luton Airport Ltd B) Andrews v Singer C) Canada Steamship Lines Ltd v The King D) Toomey v Eagle Star Life Insurance

Accepted Answer

B,C

Question 3

Which of the following contracts are specifically excluded from the ambit of the UCTA A) Contract for insurance B) Contracts for the hire of goods C) Charterparties for aircraft but not ships D) Contracts for land

Accepted Answer

A,D

Question 4

Which of the following contracts are regulated by the UCTA A) Contracts for the sale of goods B) Consumer contract for a car insurance policy C) Contracts for the sale of a company D) Contracts for exchange and barter

Accepted Answer

The answer of Which of the following contracts are regulated...

Question 5

Schedule 2 of the UCTA sets out which of the following as relevant considerations when determining whether a contract term is or is not reasonable? A) The experience of the parties in their respective field B) The relative strength of the parties' bargaining power C) The speed with which the contract was made D) Whether an inducement was received for accepting the particular terms

Accepted Answer

Schedule 2 of the Unfair Contract Terms Act (UCTA) considers the relative strength of the parties' bargaining power and whether an inducement was received for accepting the particular terms as relevant factors in determining the reasonableness of a contract term.

Question 6

Which of the following are not relevant consideration when determining whether a contract term is or is not reasonable for the purposes of UCTA Schedule 2? A) Whether a party would or could reasonably have known about the exclusion clause B) Whether, in a contract for the sale of goods, the goods were being manufactured to order C) Whether a party is self-employed or has less then 5 years experience in a particular field D) Whether or not the party uses similar or equivalent terms in their own contract

Accepted Answer

C) is not relevant because the reasonableness of a contract term is not affected by whether a party is self-employed or has less than 5 years experience in a particular field. D) is not relevant because the reasonableness of a contract term is not affected by whether or not the party uses similar or equivalent terms in their own contract.

Question 7

When dealing on written standard which of the following types of exclusion clause will be made subject to the test of reasonableness?
A) A clause that attempt to render a contractual performance substantially different from that which was reasonably to be expected
B) A clause purporting to exclude liability for the death of employees in the performance of the contract
C) A clause which purports to allow the contracting party to render no perforamce at all
D) Any clause which establishes that set penalties must be paid if a particular breach of contract occurs

Accepted Answer

Clauses that attempt to render a contractual performance substantially different from what was expected or allow no performance at all are subject to the test of reasonableness under the Unfair Contract Terms Act.

Question 8

How has the common law traditionally approached terms which seek to exclude or limit liability?

Accepted Answer

The answer of How has the common law traditionally approached...

Question 9

What approach is taken by the courts in the construction/interpretation of exclusion clauses?

Accepted Answer

The answer of What approach is taken by the courts...

Question 10

Does the control of exclusion clauses in any sense encroach on the parties freedom to contract on whatever basis they see fit?

Accepted Answer

The answer of Does the control of exclusion clauses in...

Question 11

Does the courts control of exclusion clauses place too much emphasis on 'stereotypical' notions of bargaining power, wrongly making the assumption that an individual or small commercial concern is ignorant and incapable of negotiating a strong position while a relatively larger concern will always be more knowledgeable and keen to exploit their position?

Accepted Answer

The answer of Does the courts control of exclusion clauses...

Question 12

To what extent does the case of Photo Production v Securicor recognise that the courts ought to have a 'light-touch' when it comes to regulating exclusion clauses?

Accepted Answer

The answer of To what extent does the case of...

Question 13

Should commercial parties simply be left to determine how best to apportion liability?

Accepted Answer

The answer of Should commercial parties simply be left to...

Question 14

Why might it might be desirable for the UCTA to be interpreted so as to give small businesses the protection afforded to consumers in relation to some contracts for the sale of goods?

Accepted Answer

The answer of Why might it might be desirable for...

Question 15

Does the existence of the UCTA demonstrate that some concept of 'good faith' is alive and well in English concept law?

Accepted Answer

The answer of Does the existence of the UCTA demonstrate...

Question 16

To what extent could it be argued that the courts have taken a consistent approach to the UCTA test of reasonableness?

Accepted Answer

The answer of To what extent could it be argued...

Question 17

The Unfair Contract Terms Act contains which of the following?
A) The test of reasonableness
B) The test of fairness
C) The test of unfairness
D) The criteria of equity

Accepted Answer

The answer of The Unfair Contract Terms Act contains which...

Question 18

On what basis can the decisions in Zockoll v Mercury and Timeload v BT be distinguished from the decision in Paragon Finance v Nash? A) The courts considered that the provision of a mortgage was grounds to distinguish the Paragon B) Paragon was concerned with a financial service of the type exempted by the UCTA C) Paragon was concerned with a positive obligation under the contract, Zockoll and Mercury were not D) Zockoll and Timeload were concerned with positive obligations under a contract, Paragon was not

Accepted Answer

Zockoll and Timeload involved positive obligations under a contract, whereas Paragon did not, which is why the decisions can be distinguished.

Question 19

The Unfair Contract Terms Act 1977 prevents the exclusion of liability for which of the following under any circumstances?
A) Liability for damage to reputation or standing
B) Liability for the loss or damage sustained by chattels
C) Liability for death or personal injury
D) Liability for the loss or damage sustained by real property

Accepted Answer

The Unfair Contract Terms Act 1977 prevents the exclusion of liability for death or personal injury under any circumstances. This is a fundamental protection for individuals and cannot be waived through contract.

Question 20

A party can introduce an inclusion clause into the contract after contract has been made.

Accepted Answer

Once a contract has been made, its terms cannot be unilaterally altered without the agreement of both parties; any changes, including the introduction of an inclusion clause, require mutual consent.

Quiz 7: Clauses Excluding or Limiting Liability

The signing of a written contractual agreement will usually mean that a party is bound by the exclusion terms in that contract.

Which of the following cases show the courts applying the contra proferentem rule?

Which of the following contracts are specifically excluded from the ambit of the UCTA

Which of the following contracts are regulated by the UCTA

Schedule 2 of the UCTA sets out which of the following as relevant considerations when determining whether a contract term is or is not reasonable?

Which of the following are not relevant consideration when determining whether a contract term is or is not reasonable for the purposes of UCTA Schedule 2?

When dealing on written standard which of the following types of exclusion clause will be made subject to the test of reasonableness?

How has the common law traditionally approached terms which seek to exclude or limit liability?

What approach is taken by the courts in the construction/interpretation of exclusion clauses?

Does the control of exclusion clauses in any sense encroach on the parties freedom to contract on whatever basis they see fit?

To what extent does the case of Photo Production v Securicor recognise that the courts ought to have a 'light-touch' when it comes to regulating exclusion clauses?

Should commercial parties simply be left to determine how best to apportion liability?

Why might it might be desirable for the UCTA to be interpreted so as to give small businesses the protection afforded to consumers in relation to some contracts for the sale of goods?

Does the existence of the UCTA demonstrate that some concept of 'good faith' is alive and well in English concept law?

To what extent could it be argued that the courts have taken a consistent approach to the UCTA test of reasonableness?

The Unfair Contract Terms Act contains which of the following?

On what basis can the decisions in Zockoll v Mercury and Timeload v BT be distinguished from the decision in Paragon Finance v Nash?

The Unfair Contract Terms Act 1977 prevents the exclusion of liability for which of the following under any circumstances?

A party can introduce an inclusion clause into the contract after contract has been made.