The Unfair Contract Terms Act 1977 (UCTA) regulates exclusion and limitation clauses within contracts, protecting parties—particularly consumers—from unreasonable or unfair contractual terms.
UCTA restricts the enforceability of contractual clauses aiming to limit or exclude liability, requiring them to meet a reasonableness standard, especially in business-to-consumer and certain business-to-business contracts.
Understanding UCTA ensures parties create fair contractual terms, reducing disputes and promoting equitable trading practices.
September 1, 2025
Stewart Gill sued Horatio Myer for unpaid contract sums. Myer sought to set off cross-claims for alleged breaches. Stewart Gill relied on a clause excluding set-off rights. The Court of Appeal held the entire clause must satisfy the reasonableness test under the Unfair Contract Terms Act 1977, and found it...
September 1, 2025
St Albans Council contracted with ICL to supply computer software for community charge collection. Faulty software overstated the local population by 2,966, causing the Council to set the charge too low and suffer significant revenue losses. The Court held ICL breached its contract and that limitation clauses failed the reasonableness...
September 1, 2025
Mrs Smith purchased a house relying on a mortgage valuation report prepared for the building society, which negligently failed to identify serious structural defects. The surveyors sought to rely on a disclaimer of liability. The House of Lords held that surveyors owe a duty of care to purchasers who they...
August 31, 2025
A company purchased a car through a conditional sale agreement. The car's roof leaked badly and was unfit for purpose. The Court of Appeal held that the company was 'dealing as consumer' under the Unfair Contract Terms Act 1977 despite being a business, because purchasing vehicles was not integral to...
August 31, 2025
Phillips hired a JCB excavator and driver from Hamstead. The driver negligently damaged Phillips' building. Hamstead relied on a contract condition transferring liability to the hirer. The Court of Appeal held the exclusion clause failed the reasonableness test under the Unfair Contract Terms Act 1977. Facts Phillips Products Ltd, steel...
April 17, 2026
National Case Law Archive
April 17, 2026
National Case Law Archive
April 17, 2026
National Case Law Archive