For D1, I will be evaluating the effectiveness of terms considered in a mobile contract. I will evaluate how implied terms of statue protect consumers from defective goods from sellers and how business protect themselves from liabilities through exclusion clause.
Terms and condition for TESCO MOBILE: http://www.tescomobile.com/about-us/terms-and-conditions/pay-monthly
How do customers and business protect themselves in a contract?
When consumers buy good from seller there are implied terms by statue where sellers have to follow the Sales of Good Act 1979 when selling goods to customers. Seller have the responsibility to send goods with satisfactory quality according to Sales of Good Act 1979 section 3. If they fail to follow this terms, customers are able to sue sellers for breach of contract and claim damages. For example, if a customer claim damage from Tesco mobile as the phone that Tesco gave had defects. Therefore, customers are able to sue Tesco for breach of contract as they failed the condition. However, the Limitation Act 1980 imposes that consumers only have 6 …show more content…
However, Sales of Good Act 1979 does not apply to private sellers. Therefore, customers are not able to claim breach of contract to private sellers as Sales of Good Act 1979 does not apply to them. However, according to Sales of Good act 1979 section 14(5), it states that private sellers who sells goods have to make it clear to the buyer so that buyers are aware that business is able to avoid liability under Sales of Good act. On the other hand, business are able to limit liability through exclusion clause which questions the validity of Sales of Good Act 1979 to protect