Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

ABC Ltd operates a chain of retail stores in Sydney regional are. ABC has used Trumpy's Cartage for many years to transfer goods from one

ABC Ltd operates a chain of retail stores in Sydney regional are. ABC has used Trumpy's Cartage for many years to transfer goods from one store to another. The agreed procedure is always the same. ABC telephones Trumpy and gives him the collection point and the destination. Trumpy picks up the goods. An employee of ABC and Trumpy fill in and sign a collection docket. ABC keeps the duplicate. Trumpy takes the goods directly to the drop-off point and has the docket countersigned by another employee of ABC. On the back of the collection docket, the following clause is written: Trumpy's Cartage does not accept any responsibility for any loss or damage to any goods carried and delivered however such loss or damage may arise to be caused whether by negligence or otherwise. 2 January, Trumpy collects a quantity of expensive goods from one of ABC's shops. The usual procedure on collection is followed. The docket is filled in, signed and a duplicate is kept by ABC. As it is nearly lunch time, Trumpy decides to have lunch before delivering the goods. He goes a number of kilometres out of his way to collect a friend. Together, they then go to a restaurant which has a great buffet lunch. Remi parks on a steep hill. Unfortunately, Trumpy has not checked his brakes lately. They slip and the vehicle rolls down the hill, hitting a number of obstacles on the way. The goods belonging to ABC are totally destroyed. ABC demands that Trumpy must pay for the goods. Trumpy denies liability on the basis of the terms on the back of the collection docket. ABC maintains that this term has not been brought to ABC's attention. Advise ABC whether it can recover the value of the damaged goods from Trumpy.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

10th Edition

978-0470534793

Students also viewed these Law questions