ABC Ltd was a cool-store operator. James had stored a quantity of garlic with ABC Ltd. The garlic deteriorated because it was not stored at the agreed temperature.

The terms of the storage contract were settled verbally before the delivery of the garlic.

After accepting the garlic, ABC Ltd gave a receipt to James.

The receipt contained a clause stating that the parties would be bound by the provisions contained in the Godown Warrant.

The Godown Warrant exempted ABC Ltd from any liability for damage to the goods while in its godown.

Advise ABC Ltd whether it can rely on the exemption clause.

(hong kong law)