EXEMPTION
CLAUSE
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Deposit goods in a locker
Bus ticket
Parking lot
Cinema
Buy a hand phone
• Exempted a party from liabilities
• Brought to the customer’s attention at the
time of making the contract
• Consumer has no time/energy to read the
printed words
• If reads, would probably not understand
• Dispute arises, the rights have been excluded
REQUIREMENTS
• Notice must be contemporaneous /
simultaneous with the contract
• Notice must be reasonably sufficient
contemporaneous
• To be effective, it must be brought before or at
the time of the agreement.
• If not, the notice cannot be enforced by the
court.
Olley v Marlborough Court Ltd
• The ptf & her husband booked a hotel room
and paid for a week’s lodging in advance
• At the hotel, they saw a notice “not
responsible for any loss…”
• Due to the negligence of the staff, a thief went
into the room and stole some of their
properties.
• Held: the notice was not part of the contract
Goh Gok Hoon v Eusoff Bros S/B
• The app. let premises out to the resp.
• No written agreement. Only a letter of
acceptance from 1st resp and receipts issued
to the 1st resp.
• The receipts stated a prohibition to sublet the
premises.
• The app claimed for vacant possession on the
ground that resp had sublet the premises.
Reasonably sufficient
• If the party knew that there was writing
condition on the ticket, but did not know or
believe that the writing contained conditions,
he will nevertheless be bound if the party
seeking to rely on the clause has done what
was reasonably sufficient in the circumstances
to bring it to his notice.
Parker v. South Eastern Rly Co
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Deposited a bag.
Received a ticket, stated below “see back”
Limit the liability for any damage to $10.
The bag was lost and the plaintiff claimed $24
10s.
Thomson v. LM & Rly Co
• On the face of the ticket was written words
“For conditions see back”
• Contained a condition exempting the
company from liability for injury.
• Due to the negligence of the railway co, the
ptf was injured
Richardson, Spence & Co v.
Rowntree
• Bought a ticket, contained a number of
printed terms including one limiting the
liability of the deft to $100.
• The ticket was handed to her folded up
• The conditions were obliterated in part by a
stamp in red ink