Terms vs representations

In this lesson

1. 0:00 Terms versus representations explained
2. 0:24 Sources of terms in contracts
3. 0:40 Types of terms and breach consequences
4. 1:00 Exclusion clauses and liability limits
5. 1:36 Express and implied terms defined
6. 2:32 Distinguishing terms from representations
7. 3:23 Factors judges consider for binding terms
8. 4:02 Real-world example: taxi booking case
9. 4:41 Specialist knowledge and contract liability
10. 5:26 Breach of contract versus misrepresentation

About this lesson

This distinction matters because breaching a term gives you grounds for a contract claim, while a false representation can be pursued under misrepresentation law—two very different remedies. The lesson covers the sources of terms, including express agreements and implied terms from statute or common law. You'll explore the key factors judges consider when deciding if something you said becomes a binding obligation: the time gap between the statement and contract formation, how much you emphasised its importance, and your level of specialist knowledge. Real-world examples—like a taxi firm's arrival time becoming binding because you stressed its importance, or a non-expert farmer's opinion not counting as a binding term—show how these principles work in practice. You'll also learn about exclusion clauses, a common contract term designed to limit liability in specific circumstances. Understanding this distinction is essential for Corporate and Business Law and forms part of your foundation knowledge for contract interpretation across ACCA and CIMA qualifications.

Duration: 7m