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4 5:10 7878 09 .. . 48% web.hkit.edu.hk Question 3 (20%) Cliff is the owner of a small garage. On 1 August, Cliff hired some

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4 5:10 7878 09 .. . 48% web.hkit.edu.hk Question 3 (20%) Cliff is the owner of a small garage. On 1" August, Cliff hired some repair equipments for his garage from Alan's company. It was the first time Cliff dealt with Alan's company. Alan gave an agreement form to Cliff to sign after Cliff ordered for the equipments. The form was in English and in small print. One clause said that Alan's company was not liable for any loss of its customers due to any breach of contract. Cliff did not understand English but he nevertheless signed the form. He soon found out that the repair equipments could not be used to perform the functions that he had mentioned to Alan before he (Cliff) made payment. He demanded for refund from Alan. Alan refused. Alan's company is the largest in the industry. On 2"d August, Cliff purchased a few computers from Raymond's mega computer shop. Cliff had purchased computer software programs for his garage from Raymond 4 times in July. There has always been a large statement in Chinese at the exit area saying that there was to be no refund for any purchased item. Cliff never paid attention to the statement. He later found out that all the computers were defective. He demanded for refund from Raymond. Raymond refused. (a) the legal position between Cliff and Alan; and; (10%) (b) the legal position between Cliff and Raymond.(10%) 3 090900 O

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