Exemption clauses are
A) strictly construed by the courts against the party that seeks to rely on them.
B) not used in contracts for the sale of goods.
C) not considered by courts.
D) strictly construed by the courts against the parties for whom they are drawn.
E) not used in employer- employee contracts.

Question

Quizplus · Accepted Answer

Exemption clauses are clauses in a contract that seek to limit or exclude liability for certain breaches or losses. The courts have held that such clauses are to be strictly construed against the party seeking to rely on them, because they can have the effect of excluding or limiting the rights of the other party to the contract. This means that any ambiguity in the wording of an exemption clause will be interpreted against the party seeking to rely on it.

Exemption Clauses Are