Contract Law Essay Example | Topics and Well Written Essays - 2000 words - 5

Contract Law - Essay Example The aggrieved party is also entitled to sue for damages. 1 A warranty on the other hand is a secondary term of a contract. It does not go to the root of the contract. Breach of a warranty gives the aggrieved party a right to action for damages. However, unlike an audition, breach of a warranty does not give the defendant a right to repudiate the contract and he can not therefore reject the goods supplied. Whether a term of a contract is a condition or warranty is a question to be determined by the courts. On the other hand, there exists exemption clause in a contract whose primary aim is to limit the liability of the seller of goods to which he could otherwise have been liable. But before the party has to place reliance/defence on an exemption clause, the courts must determine two things. In this case walls (w) inspected a car and agreed to buy if from Karosale (k). A clause "no condition or warranty that the vehicle is roadworthy or so to its age, condition or fitness for any purpose is given by the ownership implied herein" was incorporated in their agreement. After the car was delivered to w, it was incapable of self starting and he refused to take it. K sued him on the basis of the clause. It was held that there was a breach of condition and the defendants were not entitled to rely on the exemption clause 2 The case My advice to Keith regarding the exemption clause It is not true that Paul had incorporated the clause to the contract because the clause was written at the back of the receipt and not the front. The fact that Keith did not bother to read it cannot be used by Paul as a justification to rely on the exemption clause. It therefore means that the exemption clause WAS NOT brought to the attention of Keith. A similar judgement was passed in the case of CHAPELTON VBABBY U.D.C 1940. In this case, C hired a deck chair from the defendant and paid four pence of which he obtained a ticket. He put the ticket into his pocket without reading what was on it. On the back of the ticket was a printed message that the defendant will not be liable for any accident or damage arising from the use of chairs. But while sitting on the chair it collapsed and he suffered injuries. C sued the defendants HELD- the printed clause on the back of the receipt could not become part of the contract as the defendants did not take reasonable care to bring the clause to the attention of the plaintiff. C was entitled to damages. 3 Relating the above case to the case between Keith and Paul Keith has suffered massive loss on the use of the washing machine. The clause was not brought to his attention as it was written at the back of the receipt. If this was written at the front of the receipt, then maybe Keith could have identified it and could have