Mechanic Liabilities and Mechanic Rights

Mechanic Liabilities and Mechanic Rights

The assignment is in form of a problem question dealing with exclusion of liability and consideration.

Advice:

You will need to show that you know and understand the law relating to exclusion of contractual liability (including the common law rules of incorporation and construction and the statutory controls, such as the Unfair Contract Terms Act 1977).

You will need to analyse the facts of the question, identify the key issues and relevant legal principles, apply the law to the facts, form a coherent legal argument, and reach a reasoned conclusion.

You must identify exactly what needs to be researched and then formulate and demonstrate an effective reaearch strategy. You should structure your answer so that the arguments are easy to follow and cite appropriate authorities for legal principles. Finally, you need to demonstrate that you can solve the problem and effectively advise the client.

Mechanic Liabilities and Mechanic Rights: Order Now

Task:

Commercial Vehicle Repairs PLC (?CVR?) repairs vehicles for small businesses. Last month it entered in to repair contracts with (among other customers) Parsons Plumbing Ltd (?PPL?) and Bright Sparks Ltd (?BSL?).

PPL?s managing director, Eric Parsons telephoned CVR to arrange the repair of one of its vans and its truck. After the telephone conversation, CVR sent a quotation for the job (see Document A).

Eric read the quotation but did not look at the terms and conditions set out on the back, an extract from which appears as Document B. He telephoned CVR and explained the importance of finishing the jobs properly and on time, as the vehicles were crucial for cash flow. He said that PPL would be accepting the quotation.

BSL has been a customer of CVR?s for at least 10 years, and every 6 month its vehicles go to CVR for maintance.
CVR?s latest contract with BSL was to service a transit van for ?150 (plus the cost of any replacement parts). A date for the work was agreed and CVR agreed that if the van was dropped off by 8:30 am the work would be completed by 4:00 pm on the same day. The first document that BSL received was the invoice after the job was finsihed. On the back of the invoice were the same terms and conditions mentioned above (Document B).

There have been a number of difficulties:

– PPL?s van came to CVR with engine problems. CVR?s employee, Nick, reinstalled the radiator without attaching one of the pipes correctly. As a result, the engine overheated and failed. It needs to be replaced at the cost of ?2,000. PPL has lost 10 days? plumbing jobs, amounting to a ?10,000 loss of profit.

– On PPL?s truck, a defective engine management system unit was fitted, so, 2 days after the repair, the engine did not start and PPL has been unable to use the truck for 5 days. As a result, it has lost another ?5,000 profit.

– On the date agreed for CVR to service BSL?s van, the vehicle was dropped off at 8:15 am but when an employee went to collect it at 4:00 pm, he was told that it was not ready. CVR apologised, but said that it had been busy and that the van would not be ready to collect until the following day. As a result, BSL lost ?500 profit.

Advise CVR as to its legal positions in relation to PPL and BSL

Mechanic Liabilities and Mechanic Rights: Order Now

Document A:

– COMMERCIAL VEHICLE REPAIRS PLC –
Specialists in vehicle repairs since 1960; Unbeatable Prices

QUOTATION

Registered office: Unit 4, Diesel Avenue, ZF1 2 AB
VAT Registration: 553967383

CLIENT ADDRESS
Eric Parsons
Parsons Plumbing Ltd.
33 Dogleg Drive
BX3 4GY

PRODUCTS AND WORK (PRICE/ ?)

Materials as per schedule 700.00

Labour as per schedule 2,000.00

Total Net Amount 2,700.00

Total VAT Amount 540.00

Payable on completion 3,240.00

ALL WORK / MATERIALS SUPPLIED SUBJECT TO CVR STANDARD TERMS OF BUSINESS OVERLEAF.
————————————–

Document B:

– COMMERCIAL VEHICLE REPAIRS PLC –
– Standard terms of Business-

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7.2.1. Liability of CVR for any loss of profit arising from failure to exercise a reasonable care and skill in the performance of the contract shall be limited to ?50 per day.

7.2.2. CVR will not be liable for any damage arsing from lack of quality of goods or unfitness of goods for any purpose made known.

7.2.3. CVR shall have no liability for any loss caused by delay or for any loss or personal injury caused by negligence.

By admin in Essays on January 26, 2016