First Principles of Business Law

The contents of a contract
3. Express and implied agreement to terms

3.2. Inclusion of terms in signed documents

 

 

Read the facts and the question and then choose the best answer.

A, a retailer, wants to buy 1,000 boxes of breakfast cereal from B, a manufacturer. B asks A to sign a printed 'Contract of Sale'. Among other things the form contains 5 clauses under the heading 'Terms of Sale'. Without reading the document A signs it in the space provided at the bottom.

Is A bound by the five 'Terms of Sale' contained in the document? 

(a) Yes, A is bound by the terms contained in the document she signed even if she didn't read it.

(b) No, A is not bound by the terms because she did not read the document before she signed it.

 

 

 

 

 

 

 

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