Essay: Liabilities of damage in contract law

10 Oct

Essay: Liabilities of damage in contract law

Sample Essay

As earlier mentioned, there are instances when the manager may want to avoid liability of damages which they have not attributed to. Exclusion clauses play this role but their incorporation into a sales contract must be handled delicately. It is important to clarify to consumers of the cause for exemption and also display fairness while incorporating this into the contract. Consumers are protected by acts which prohibit producers from excluding their liability in regard to breach of contract.

When the enterprise has negligently caused damages to the consumer, they must be responsible for their own actions and not except consumers to exempt them from liability even when they are at fault. Therefore, the manager should ensure that the consumers are aware of their rights during any sales transaction. Failure to do so may put the enterprise at the risk of litigation by regulatory bodies. Indeed, exclusion clauses are only legally viable if they showcase reasonableness in their necessity. Circumstances under which they are formed must be known to both the service provider and consumer and mutually consented. The manager thus needs to provide reasonable cause for incorporating and implementing any exemption clause.

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