Chapter 15 Self-test questions

. What has been the effect of the Unfair Contract Terms Act 1977 and Consumer Rights Act 2015 on the common law rules governing unfair terms?

The common law rules need to be applied more strictly than before.

The common law rules do not necessarily need to be applied as strictly as before.

The common law rules have been replaced entirely by the legislation.

There has been no effect on the common law rules.

. What is the essence of the 'main purpose' rule?

Anything that is consistent with the main purpose of the contract must give way to that purpose.

A contract can only have one purpose, any other purposes will not be given effect.

Anything that is inconsistent with the main purpose of the contract must give way to that purpose.

None of the above options is correct.

. Why has the doctrine of fundamental breach been abandoned?

Materially, 'fundamental terms' are identical to conditions.

The doctrine undermines the principle that it is for the parties to make the contract.

The doctrine lacks adequate theoretical support.

All of the above options are correct.

. Under UCTA 1977, an 'international supply contract' is a contract for the sale of goods, made by parties whose places of business are in different states. What is another requirement for such contracts?

When the contract is made, the goods are in the course of carriage, or will be carried, from one state to another.

The acts of offer and acceptance are done in different states

The contract provides for the goods to be delivered in a state other than that in which the offer and acceptance took place.

All of the given options are correct.

. Which of the following is not a requirement for a contract to fall within section 3 of UCTA 1977 (avoidance of liability, otherwise than for negligence, in contract)?

The terms must be written.

The terms must be signed.

The terms must be standard.

None of the above options is a requirement under section 3.

. What is the measure by which terms will be excluded under section 11 UCTA 1977?

Reasonableness.

Necessity.

Unfairness.

Proportionality.

. When will a clause purporting to exclude liability for misrepresentation be enforceable?

The claimant satisfies the court that the term is sensible.

The claimant satisfies the court that the term is common in an industry.

The claimant satisfies the court that the term serves a recognised purpose.

The claimant satisfies the court that the term is fair and reasonable, taking into account circumstances in the contemplation of the parties.

. To which type(s) of contract does the Misrepresentation Act 1967, section 3, not apply?

Commercial contracts.

Consumer contracts.

Goods distribution contracts.

None of the above options is correct.

. Who has the burden of proving that an individual is not a consumer under the 2015 Act?

The trader.

The individual.

Either the trader or the individual.

None of the options given is correct.

. In a contract for the sale of goods, a seller is able to restrict their liability to a consumer that the goods are of satisfactory quality. True or false?

True.

False.

. In which of the circumstances given will a claimant be able to rely on the Consumer Rights Act 2015?

When they have made a bad bargain.

When they have bought a computer for use in their business.

Where they have bought a computer from a friend.

None of the above options is correct.

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