AUSTRALIAN LAW QUESTION

Steven purchased a new passenger car from Plush & Co for $35,000. In the signed written contract of sale which was stated to be for a new car was also the clause: 'All conditions, warranties and liabilities implied by statute, common law or otherwise are hereby excluded'. In fact, the car delivered to Steven was not new but a demonstration model, and now he wished to avoid the contract. Steven argued that Plush & Co had broken the contract by providing him with a demonstration model, while Plush & Co relied on the exemption clause to exclude it from liability.

Who has stronger legal arguments in this case, Steven or Plush & Co?