Has the exclusion and limitation clause

Assignment Help Business Law and Ethics

Reference no: EM133281944

Zyra is the owner of a flower shop. In the first half of 2022, her shop made a significant profit. As a gesture of gratitude, she decided to purchase two coffee machines for members of staff to enjoy freshly brewed coffee during work breaks.

She went to a local shop retailing coffee machines called TASTE. She picked two machines which were on sale at a 50 percent discount. Before the contract was signed, the shop assistant pointed out a term in the contract which says: "Taste will make a one-off payment of $200 as compensation for any defective coffee machine sold in the shop."

Zyra thought that the coffee machines seemed fine, so she signed the contract and paid with the bank card of her flower business.

After Zyra signed the contract and paid, the shop assistant pointed out a statement in the receipt which said: "No refund is available for discounted items sold in TASTE."

One month later, both coffee machines stopped functioning. Zyra consulted a professional repair person. He advised Zyra that the market price for fixing one of the machines was $300. The other coffee machine was beyond repair and was unsafe to use.

Required:

Has the exclusion and limitation clause are validly incorporated, and if yes, whether the parties have validly contracted out of the Consumer Guarantees Act 1993.

Reference no: EM133281944

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