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Contractual Terms (Breaches of Contract and Remedies (The Issue of Damages…

- - - - Include specific performance and recission
  - - - Damage must arise naturally - from breach
      - Must have been in the reasonable contemplation of both parties
    - - Tests
        
        Reliance Loss
        
        Actual Financial Loss
        
        Non-Financial Loss
        
        Cost of Cure
    - - Expectation Loss: Reasonable loss that you would expect to experience as a result of the breach of contract and is most usual for complainants to use
      - Reliance Loss: Loss suffered as a result of relying on the contract
  - - - Goods already been sold in good faith to a third party
      - Contract is one for services
- - - - Makes void any exclusion clause attempting to exclude liability for death or injury caused by negligence
    - - Attempts to exclude liability for implied terms (consumer contracts)
      - The contract with a consumer will be void
        
        if the contract is between two non-consumers - subject to the reasonableness test
    - - Similar to S6
      - Deals with services
    - - Deals with exclusion clauses for all other terms
        
        Contract with a consumer
        
        Must be reasonable
      - Between two business then there are no restrictions
- - - - Expressed in the contract itsself
  - - - Depend on the nature of the contract and those contracting
    - - Certain types of contract have implied terms because of their trade or industry
  - - - There are exceptions to this - Bannerman v White: Conversation was close to the actual agreement and was important
- - - - Breach of condition
        
        Remedy is damages and or rescissions
  - - - Only damages can be claimed
- - - - Quality is taken to be
        
        Appearance and Finish
        
        Freedom from minor defects
        
        Fitness for all the purpose
        
        Safety
        
        Durability
    - - SS: 49, 52 and 51
        
        Undertaken with reasonable skill and care
        
        Reasonable time
        
        Reasonable