Last Bus Limited v Dawsongroup Bus and Coach Limited & Anor

Last Bus Limited v Dawsongroup Bus and Coach Limited & Anor

The Judge adopted the wrong approach by treating the parties as of equal bargaining strength regarding the exclusion clause and by summarily determining reasonableness without full evidence. The issue of reasonableness under UCTA is fact-sensitive and should proceed to trial where all relevant facts, including the tripartite arrangement and insurance positions, can be properly considered.

Parties
Appellant/claimant: Last Bus Limited (Trading as Dublin Coach); Respondent/first Defendant: Dawsongroup Bus and Coach Limited (Formerly Dawson Rentals Bus and Coach Limited); Second Defendant: Evobus (UK) Limited
Jurisdiction
England and Wales
Judgment Date
11 October 2024
Procedural Posture
Civil Appeal / Appeal From Summary Judgment in the High Court; Court of Appeal Judgment
Outcome
Appeal allowed
Legal Topics
Exclusion Clauses, Reasonableness Test, Hire Purchase Agreements, Unfair Contract Terms Act 1977, Implied Terms, Summary Judgment
Contract Law Commercial Law Exclusion Clauses Reasonableness Test Hire Purchase Agreements Unfair Contract Terms Act 1977 Implied Terms Summary Judgment

Case Brief

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Parties

Last Bus Limited (Trading as Dublin Coach)

Appellant/claimant

Dawsongroup Bus and Coach Limited (Formerly Dawson Rentals Bus and Coach Limited)

Respondent/first Defendant

Evobus (UK) Limited

Second Defendant

Procedural Posture

Civil Appeal / Appeal From Summary Judgment in the High Court; Court of Appeal Judgment

Legal Issues

  1. 1 Whether the enforceability of a standard form exclusion clause under section 6(1A)(b) and section 11 of the Unfair Contract Terms Act 1977 (UCTA) can be determined summarily or must be tried at trial
  2. 2 Whether the exclusion clause in the hire purchase agreements satisfied the requirement of reasonableness under UCTA

Ratio Decidendi

The Judge adopted the wrong approach by treating the parties as of equal bargaining strength regarding the exclusion clause and by summarily determining reasonableness without full evidence. The issue of reasonableness under UCTA is fact-sensitive and should proceed to trial where all relevant facts, including the tripartite arrangement and insurance positions, can be properly considered.

Court Disposition

Appeal allowed

Orders

  • Summary judgment set aside
  • Matter to proceed to trial in the High Court