Cases - George Mitchell Ltd v Finney Lock Seeds Ltd
Record details
- Name
- George Mitchell Ltd v Finney Lock Seeds Ltd
- Date
- [1983]
- Citation
- 2 AC 803 HL
- Legislation
- Keywords
- Contract – sale of Goods - exemption clause – limitation clause – equal bargaining position – whether fair or reasonable to allow reliance on limitation clause
- Summary
-
On an interpretation of the Unfair Contract Terms Act 1977, it was held unreasonable for a limitation clause to operate in circumstances in which the relevant industry recognised that reliance on the clause would not be fair or reasonable, where the parties did not enjoy an equal bargaining position, and where the party seeking to rely on the limitation clause could have insured against the loss without having materially to increase the price of its product.