Exemption Clauses and Consumer Contracts

1. Under the CRA 2015, what does s.31 prohibit?「」

Under CRA 2015, s.31 prohibits a term excluding or limiting liability in respect of sale of goods under s.9 (satisfactory quality), s.10 (fit for particular purpose) and s.11 (as described).

2. What does s.57 prohibit?「」

S.57 prohibits a term excluding or limiting liability for the supply of services under s.49 (service to be performed with reasonable care and skill) and s.52 (reasonable time).

3. What does s.65 prohibit, and what are other terms subject to?

S.65 prohibits exclusion or restriction of liability for death or personal injury resulting from negligence. Other terms are subject to a ‘fairness test’ to decide if terms and notices are enforceable.

4. When will a term be unfair?

A term will be unfair if it puts the consumer at a disadvantage, limits the consumer’s rights or disproportionately increases their obligations as compared to the trader’s rights and obligations.

5. What terms are not subject to the test of fairness?「」

Terms relating to the main subject matter of the contract or terms that set the price are not subject to the test of fairness provided that they are both transparent and prominent.