XN000022-1990-02-02 — Page 2

1

FRIDAY, FEBRUARY 2, 1990

ORDINANCE,

NEW CONSUMER PROTECTION LAW TAKES EFFECT ON DECEMBER 1

* * * * *

A MAJOR PIECE OF CONSUMER PROTECTION LEGISLATION,

CLAUSES EXEMPTION DECEMBER 1 THIS YEAR.

OF

WILL

COME

THE CONTROL ON INTO OPERATION

THE COMMENCEMENT NOTICE OF THE ORDINANCE WAS PUBLISHED GAZETTE TODAY (FRIDAY).

IN THE

AND INDUSTRY, MR

THE PRINCIPAL ASSISTANT SECRETARY FOR TRADE PETER CHEUNG, SAID THE ORDINANCE WAS ENACTED IN NOVEMBER LAST YEAR AND ORDINANCE 12 MONTHS THE GOVERNMENT'S INTENTION WAS TO IMPLEMENT THE

COMMUNITY TIME ΤΟ AFTER ITS ENACTMENT IN ORDER TO GIVE THE BUSINESS REVIEW THEIR USE OF CONTRACTS AND TO MAKE ANY NECESSARY AMENDMENTS.

ΤΟ

"THE GOVERNMENT HAS WRITTEN

BUSINESS ORGANISATIONS EXPLAIN THE CHANGES AND THE CONSUMER COUNCIL INTENDS TO RUN OF SEMINARS FOR BUSINESSMEN TO FURTHER ORDINANCE AND ITS IMPACT ON TRADING PRACTICES,

TO

A SERIES EXPLAIN THE DETAILS OF THE

HE SAID.

CLAUSES

"

CLAUSES NEGLIGENCE

DENIAL OF A WHERE ONE

IN

OR

EXEMPTION THOSE "THE ORDINANCE 18 CONCERNED WITH CONTRACTS AND NOTICES SEEKING TO EXCLUDE LIABILITY FOR

AMOUNT ΤΟ BREACH OF CONTRACT. SOME OF PERSON'S LEGITIMATE RIGHTS AND EXPECTATIONS IN A SITUATION PARTY, BECAUSE

STRONGER

OF ITS

THESE

BARGAINING

POSITION,

DICTATE TERMS TO A WEAKER OR LESS SOPHISTICATED PARTY."

IS ABLE TO

OF THE LEGISLATION WAS MR CHEUNG EXPLAINED THE INTRODUCTION BASED ON A RECOMMENDATION OF THE LAW REFORM COMMISSION WHICH OBSERVED LED TO ABUSE, PARTICULARLY THAT THE USE OF EXEMPTION CLAUSES OFTEN

NOT DID

HAVE EQUAL BARGAINING WHERE THE STRENGTH.

ΤΟ PARTIES

A CONTRACT

"THE COMMISSION BELIEVED THAT THE BENEFITS OF SOME CONTROL OUTWEIGHED ANY ECONOMIC DISADVANTAGES WHICH MIGHT BY THIS LIMITED INTERFERENCE WITH THE FREEDOM OF CONTRACT,

THAT

MEASURE OF BE CAUSED HE SAID.

SAID SUMMARISING THE MAIN FEATURES OF THE ORDINANCE, MR CHEUNG

WERE CLAUSES OF EXEMPTION TYPES IT PROVIDED

CERTAIN

SUBJECT TO A AUTOMATICALLY INEFFECTIVE AND CERTAIN OTHER TYPES WERE REASONABLENESS TEST.

THE FOUR TYPES OF CLAUSES THAT ARE THOSE THAT CANNOT, UNDER ANY ARE AS

FOLLOWS:

ARE AUTOMATICALLY LNEFFECTIVE

BE CIRCUMSTANCES,

JUSTIFIED.

THEY

DEATH OR PERSONAL

* FIRSTLY, AN EXEMPTION CLAUSE RELATING TO

INJURY RESULTING FROM NEGLIGENCE.

SOME CHILDREN'S LIABILITY FOR INJURIES

FOR EXAMPLE, THERE ARE NOTICES DISPLAYED IN PLAYGROUNDS PURPORTING

EXCLUDE ΤΟ

CAUSED BY THE NEGLIGENCE OF THE PLAYGROUND OPERATOR.

/THERE CAN