Establishment of Contract
Is there a valid contract between Mia and Safe and Reliable Car Park Pty Ltd.?
For a contract to exist between two or more parties the fundamental components of a contract should be present in the transaction. They are offer, acceptance, consideration, intention to be legally bound, capacity to contract and legality of the promise.
An offer is supposed to be a firm promise that can be based on certain terms and the offer should be capable of being agreed to turning it into a binding agreement. Offers are usually preceded by an invitation to treat which invites the offeror to make the offer to the offeree (Grainger and Sons v Gough) . Acceptance refers to a clear agreement to the terms of the offer, it can be done
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Contents of the Contract
As the existence of valid contract has been established the next issue that needs to be analysed are the terms of the contract between Mia and Safe and Reliable Car Park Pty Ltd. The presence of implied terms and exclusion clauses are the most critical elements among the contents of Mia’s contract.
The terms of a contract can be identified into conditions, a warranties or an innominate term arises. A condition is a critical term and without it the whole agreement would be different and breach of it allows for the innocent party to reject the contact and sue for damages (Posussard v Spiers & Pond) . While warranties are terms of less significance in the contract and a breach of these allows the innocent party to claim for damages only (Bettini v Gye) . The outcomes of breach of innominate terms are not certain and depends on the consequences of the breach.
Implied
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An exclusion clause is a clauses that are meant to protect one party from liabilities caused due to breach of the contract. Exclusion clauses by their very nature are destructive to the rights to one party usually the consumers . Exclusion clauses can be present in both signed (Curtis v Chemical Cleaning & Dyeing Co.) and unsigned contracts (Causer v Browne) . When analysing an exclusion clause in an unsigned contract like Mia’s parking ticket the clause would have to go through the nature of the document test and the reasonable notice test to see if it hold up in the court. The nature of the document checks if the document in which the exclusion clause is written is serves another purpose apart from displaying the clause. The test of reasonable notice looks at whether sufficient notice of the exclusion clause has been given to the other party to bring it to their attention. These tests are meant to ensure that the other party is aware of the exclusions clause and agrees to it. When clearing the ambiguity from exclusion clauses ‘contra proferentem’ rule would applied it would be done in by making it favourable to the party that does not rely on the