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Name of Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd

Case

Citation and Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd (2004) 219 CLR 165
Court High Court of Australia

Material
Facts  Alphapharm purchased flu vaccine from Ebos Group Ltd
 Carriage contract was entered into between Finemores (FGCT) and
Richard Thomas Pty Ltd, an agent for Alphapharm
 Front of relevant contractual document, which was headed
‘Application for Credit’ – where it was signed, read “please read
‘conditions of contract’ prior to signing”
 One condition was an exclusion clause protecting FGCT from liability
in the event of damage to the vaccine during transportation (cl 6)
 The vaccine was damaged because it was destroyed at too low of a
temperature
Legal Issue Whether cl 6 formed part of the carriage contract thereby excluding
Finemores from liability for the destruction of the vaccine

Relevant The objective approach to the determination of the rights and liabilities of
Law contracting parties; the significance to the signature of a contractual
document.
 Case authority: Oceanic Sun Line Special Shipping Company Inc v
Fay: if a passenger signs, and thereby binds himself to the terms of a
contact of carriage containing a clause exempting the carrier from
liability… it is immaterial that the passenger did not trouble to discover
the contents of the contract
Application In order for those terms and conditions to be made part of the contract, it is
of Law to the necessary for Finemores to establish it had been done what was reasonably
Facts sufficient to give Richard notice.
Whilst this was an exclusion clause, the effect of a signature cancels the need
to give reasonable notice: "where a person has signed a document, which is
intended to affect legal relations, and there is no question of
misrepresentation, duress, mistake, or any other vitiating element, the fact
that the person has signed the document without reading it does not put the
other party in the position of having to show that due notice was given of its
terms."
Conclusion Held that cl 6 formed part of the contract

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