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Lillian thinks the Hollyoak Fitness Centre is legally responsible for the loss of her watch. Paul does not think so.
Lillian argues: I was not aware of any special terms and conditions when I became a Day Member of the Centre. I did not agree to absolve the Centre of liability for loss of valuables taken from lockers.
Paul argues: It is clearly stated on all membership cards that we take no responsibility for valuables taken from lockers. Lillian is bound by all the terms and conditions that are written on the card.
Taking account of the arguments made by Lillian and Paul, the exact issue (question to be decided) that arises can be stated as follows:
In the circumstances of the case, did it become a term of the agreement between Lillian and the Hollyoak Fitness Centre that the Fitness Centre was not responsible for the loss of, or damage to, any valuables or personal items left in lockers?
This statement of the issue makes it clear that the case is concerned with contract law and, more particularly, with the rules that determine when and how terms become part of a contract. If the case goes to trial, this question will be answered by applying the relevant rules of law. You will need to find the relevant rules, understand them, and work out how a court might use them to decide the case.
In what follows, assume that Lillian's claim will be brought in the NSW Local Court.
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