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Alex is enjoying his travels in Melbourne and decides to book a hotel room at the Docklands Hotel before his ight back to the Philippines.
Alex is enjoying his travels in Melbourne and decides to book a hotel room at the Docklands Hotel before his ight back to the Philippines. Before paying the hotel fee, Alex is required to sign a contract. The contract contains many terms, which Alex regretfully does not read as he is too tired. An exemption clause of the agreement reads: \"Under no circumstances shall Docklands Hotel be responsible for any acts by their employee unless such act or default could have been foreseen and avoided by the exercise of due diligence by the employee and the Docklands Hotel.\" Once he signs the document, he is given the hotel room card key. The receptionist tells him that his luggage will be carried into his room by a hotel employee. Upon entering his room, he places his passport for safekeeping in the hotel safe box and then leaves to meet a friend. He fails to notice a disclaimer on top of the safe box which reads: "Customers are free to use the safe box but at their own risk. Under no circumstances shall Docklands Hotel be responsible for any damage, destruction, loss or theft of an y items locked in the safe box. " When he returns to his hotel room, he discovers his expensive luggage bag is broken. Furthermore, the safe box door is open, and his passport is nowhere to be found. It is later discovered in the elevator CCTV recording that the bag was damaged by a disgruntled employee who violently smashed it inside the elevator wall after an argument with the hotel manager. As for the passport, a police investigation concludes that a thief was able to enter his room through the window and steal the passport by forcibly opening the safe using an electric drill and hammer. Alex is unhappy with his predicament and demands compensation from the Docklands Hotel. Advise Alex of the following (using relevant case law) 1. Is the exemption clause in the signed contact a term? If so, is it effective? 2. Is the disclaimer on the safe box a term of the contract? If so, is it effective
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