must not be ambiguous, or it will be construed against the party relying on the
clause, based on the Contra Proferentum Rule.
Even if the court finds the exclusion clause to be of proper incorporation, it may be
statutorily invalid. Under
section 6(1)
of UTCA, any clause excluding liability for
breach of section 12 of SGA totally invalid. Under
section 6(2)
of the UCTA, it is
provided that in consumer sales, any attempt to exclude liability for breach of
section 13, 14, 15 would be invalid. In contrast,
section 6(3)
of the UCTA provides
that in non-consumer sales, liability for the breach of section 13, 14, 15 may be
excluded if it is reasonable, based on certain factors such as the ones mentioned at
the beginning of this paragraph.
In this case
.....
apply the law
....
however, whether or not this is a consumer/non-
consumer sale
.....
whether or not the exclusion clause is reasonable...whether the
buyer has lost his right to reject...is a matter of fact for the court to decide.
HOWEVER,
the exemption clause however does not exclude for damages as a
result of the breaches including consequential losses incurred in repairing the
defective products as well as expectation loss which would have been incurred in
the disruption of the contract.
36

BIZLAW CHEAT SHEET
In conclusion, liable under SGA...remedies.
Liability of
manufactu
rers and
distributor
s
(page 147)
Retailer can in turn sue the manufacturer, by virtue of Britestone Pte Ltd v Smith &
Associates Far East, Ltd (2007).
Consumer can also directly sue the manufacturer, when there is a guarantee, or if
the customer suffers physical injury as a result of negligence on the part of the
manufacturers.
The case of TV Media Pte Ltd v De Cruz Andrea Heidi (2004)
, the well known Slim
10 case, provides that manufacturers and distributors can also be directly liable for
the breach of the SGA and other areas of law such as the tort of negligence.
Guarantee:
Due to the presence of a Guarantee Card, ______ may be able to
directly deal with the manufacturer. The manufacturer is likely to honor the
guarantee, subject to the terms of the guarantee. It can be noted that the consumer
cannot sue the manufacturer for refund, as there is no personal injury involved. It
can only seek repair and replacement of the faulty products under the terms of the
contract.
In the case where losses are incurred in the process of the repair, XXX may sue the
retailer for damages, claiming the consequential losses it has incurred as a result of
the breach. In return, the retailer may choose to sue the manufacturer for the
provision of defective products, similarly under the terms of the SGA as was
previously discussed.
Internation
al Sales
(page 173)
Just as with domestic sales transactions, international sales transactions are
contracts. Each country’s law is different and where would dispute be resolved are
issues.


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