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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Main purpose rule
1) Sir in exclusion clause, under interpretation control, what is the main purpose rule? Can you please explain?
2) Also please explain “possible to exclude liability for fundamental breach.”
The “main purpose” rule is the rule that says that a Court must look for the … main purpose of the clause within the statute
What was it that decided the legislature to pass this piece of legislation … why was it deemed necessary?
OK with that?
“please explain “possible to exclude liability for fundamental breach.””
What can I say? It is possible in some (restricted) circumstances to exclude liability for fundamental breach. That says it all!
???
1)Sir, an exclusion clause that affects the main purpose of contract is enforceable or not?
2) Can an exclusion clause excludes liability for the fundamental breach?
But Sir why only in some restricted circumstances? Why not in all circumstances if the clause is properly drafted?
“1)Sir, an exclusion clause that affects the main purpose of contract is enforceable or not?
2) Can an exclusion clause excludes liability for the fundamental breach?”
1) Yes, in some circumstances
2) Yes, I’ve already told you this
“But Sir why only in some restricted circumstances? Why not in all circumstances if the clause is properly drafted?”
Because it would not always be fair to enforce such an exclusion clause … for example if there is inequality of bargaining power
OK?
