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CONTRACT LAW

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › CONTRACT LAW

  • This topic has 1 reply, 2 voices, and was last updated 1 month ago by MikeLittle.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • July 7, 2022 at 4:12 pm #660129
    Eunice03
    • Topics: 40
    • Replies: 35
    • ☆☆

    JOAN & DAVID
    Background
    Joan booked some flights for her and her family to go on a holiday to Spain. When booking
    on?line there was a clearly displayed notice that said “You may be charged additional fees for
    excess baggage”. Joan read the notice but didn’t think that it was relevant as her family are
    always sensible with their baggage and always seem to take less than other people. When
    they check in at the airport they are told that they need to pay additional charges of £200 as
    their baggage weight exceeds 40kg
    David has signed up to a mobile phone contract with Purple Telecoms for £20 a month. After
    he agrees to the deal he discovers that his friend Ben got the exact same package with Purple
    on the same day for £15. He immediately calls Purple Telecoms to argue that the deal is
    unfair.

    Task 3 (2 marks)
    In relation to Joan and David which TWO of the following statements are correct?
    ? The excess baggage charge is likely to be deemed enforceable as the term is
    transparent and prominent
    ? The excess baggage charge is likely to be deemed unenforceable as it fails the fairness
    test
    ? The mobile phone contract price is likely to be deemed unenforceable as it fails the
    fairness test
    ? The mobile phone contract price is likely to be deemed enforceable as it relates to the
    appropriateness of the price and the term is transparent and prominent

    ANS –
    Task 3
    ? The excess baggage charge is likely to be deemed unenforceable as it fails the fairness
    test
    ? The mobile phone contract price is likely to be deemed enforceable as it relates to the
    appropriateness of the price and the term is transparent and prominent

    Good day sir,I don’t understand how the baggage claim failed the fairness test.I’ll appriate it if you can explain better.

    July 8, 2022 at 7:27 am #660154
    MikeLittle
    Keymaster
    • Topics: 26
    • Replies: 22588
    • ☆☆☆☆☆

    Hi Eunice

    On the face of it, I would find it hard to disagree with you. However! There is no mention in the stem of the question about baggage weight allowances. If the stem of the scenario had specified what the baggage allowance was and Joan’s family had exceeded that disclosed allowance, then, yes, I believe that the excess charge would have been allowed. But, because there is no indication in the question (there is in real life!) of the allowable weight, then such a vague comment as “You may be charged additional fees for excess baggage” would not likely be enforceable

    OK?

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