Commercial and Corporation Law of Australia-Samples for Students

Question: Discuss about the Commercial and Corporation Law of Australia using Case Study. Answer: Issue: The issue in this case is related to the fact that whether Marcus is entitled to get his losses covered by the Park Safe. Law: The exclusion clause is the main essential of law of contract which excludes one of the parties to the contract from liability for a breach of contract (Ayres and Schwartz 2014). In this regard, it is noteworthy to mention here that, the party can rely upon the exclusion clause only if such clause has been clearly incorporated in the contract. Therefore, in order to rely upon the exclusion clause it is important to provide reasonable evidence about the existence of the exclusion clause in the contract (Stone and Devenney 2017). The exclusion clause is included in the contract by notice, signature and course of dealing. In Curtis V Chemical Cleaning Co [1951] 1 KB 805 it was observed that the wedding dress of the plaintiff was stained by the cleaners (defendants). It was observed that the plaintiff was given a receipt which contained an exclusion clause stating that the cleaners wont be liable for any damage. However the Court held that the cleaners could not escape liability as the d efendants misrepresented the scope of the exclusion clause. Similarly it is important that the exclusion clause has to be brought to the notice of the party. The exclusion clause should be present in such a manner so that it is clearly noticeable. However, it is important that such exclusion clause should be brought to the attention of the other party at the time of formation of the contract. In Thornton V Shoe Lane Parking [1971] 1 All ER 686 it was observed that when the plaintiff kept his car into the car park of the defendant, he was given a ticket. The ticket contained certain conditions which stated that the owners of the car park shall not be liable for the damages and injuries caused to the vehicles and customers. It was held by the Court that the defendants cannot escape liability by applying the exclusion clause because it was written in small print which no reasonable person could understand. Application: When Marcus entered the car park he was handed with a ticket. In the back of the ticket a list of conditions were written in smaller print which contained the exclusion clause stating that Park Safe shall not be responsible for any damage of vehicles. It can be observed that the exclusion clause which contained in the ticket was written in a relatively smaller print which cannot be noticeable by a reasonable person. Therefore, due to this reason Marcus did not check the back of the ticket. In this regard, applying the relevant case studies it can be stated that Park Safe cannot escape their liability by applying the exclusion clause. Conclusion: It can be concluded that Marcus is entitled to recover damages from the car park company for the losses. References: Ayres, I. and Schwartz, A., 2014. The no-reading problem in consumer contract law.Stan. L. Rev.,66, p.545. Curtis V Chemical Cleaning Co [1951] 1 KB 805. Stone, R. and Devenney, J., 2017.The modern law of contract. Routledge. Thornton V Shoe Lane Parking [1971] 1 All ER 686.