Commentary

31.3.1 Unfair Contract Terms Act 1977

BOILERPLATE AND COMMERCIAL CLAUSES vol 4(3)
| Commentary

31.3.1 Unfair Contract Terms Act 1977

| Commentary

31.3 Statutory control of exemption clauses

31.3.1 Unfair Contract Terms Act 1977

The statutory provisions must be considered when drafting exemption clauses. Under the Unfair Contract Terms Act 1977:

  1. (a)

        A party cannot exclude or restrict liability, by a contract term or notice, for death or personal injury caused by that party’s negligence1.

  2. (b)

        For other loss or damage caused by negligence, any exclusion or restriction of liability will not be effective unless it satisfies the requirement of reasonableness2.

  3. (c)

        A party may not (among other matters) exclude or restrict liability for breach of

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