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ACCA LW · Chapter 3 · Question 5 of 10

Mrs Olley booked into a hotel and paid at reception. A notice in her bedroom excluded the hotel's liability for lost property. Her furs were stolen through the hotel's negligence. Why was the hotel unable to rely on the notice in Olley v Marlborough Court Hotel?

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Reveal answer & explanation

Correct answer: A) The notice was not incorporated because it was seen only after the contract had been made

Explanation

To be incorporated, an exclusion clause must be brought to the other party's attention before or at the time the contract is made. The contract was concluded at the reception desk, so a notice in the bedroom came too late. Signature is a separate method of incorporation (L'Estrange v Graucob), and nothing in the case depended on print size.

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