Truck Transport (TT) contracted with AusWheat to truck this year's export wheat crop from various silos on Eyre Peninsula to Port Lincoln at a total charge of $50,000. TT has contracted with AusWheat every year for the past 9 years, Tom, one of the drivers employed by TT, stopped to do some fishing halfway to Port Lincoln. The truckload of wheat, negligently left in the rain, spoiled. Tom nonetheless delivered it to Port Lincoln. IT claims to be protected from any liability for the loss by a clause on the dockel handed by each of its drivers to AusWheat on arrival in Port Lincoln. The clause reads: 'Any liability on the part of Truck Transport Lid or any of its drivers for damage to goods being carried is hereby excluded howsoever the damage may be caused.'

Advise AusWheat as to whether exclusion clause forms part of the contract between the parties and whether it will likely protect IT Ltd from liability for negligent performance.

Answer rating: 100% (QA)

Yes the exclusion clause is likely to form part of the contract between Truck Transport Ltd TT and A... View the full answer