Legal
Know your BIFA Standard Trading Conditions 2021 – Clause 27 (A)
In this month’s issue we begin the examination of Clause 27 relating to time bars in respect of claims against the BIFA Member. Here we will cover Clause 27 (A) with a full explanation of Clause 27 (B) to follow next month
the time limit for notification of the claim to the BIFA Member and Clause 27(B) refers to the time limit by which court action must be taken. As shown below, the time bars under Clause 27 can be overridden by those applicable to an international convention by compulsory legislation and such limits may be more favourable to the BIFA Member. Comment on Clause 27 (A) The purpose of this clause is to ensure that the BIFA Member has written notice within a reasonably short time, so that the BIFA Member can make enquiries about the claim and protect himself by claiming on other parties. To comply with reasonableness under the Unfair Contract Terms Act 1977 , a period of grace is given in the latter part of this clause, provided that the Customer takes such action as soon as possible. Information about a claim may come from remote parts of the world. Late notification of a claim is
CLAUSE 27 (B) Notwithstanding the provisions of sub-paragraph (A) above, the Company shall in any event be discharged of all liability whatsoever, howsoever arising, in respect of any service provided for the Customer or which the Company has undertaken to provide, unless suit be brought and written notice thereof given to the Company within nine months from the date of the event or occurrence alleged to give rise to a cause of action against the Company. General comment on Clause 27 This important clause imposes the two stages of time bars in respect of claims – Clause 27(A) refers to
CLAUSE 27 (A) Any claim by the Customer against the Company arising in respect of any service provided for the Customer, or which the Company has undertaken to provide, shall be made in writing and notified to the Company within 14 days of the date upon which the Customer became or ought reasonably to become aware of any event or occurrence alleged to give rise to such claim, and any claim not made and notified as aforesaid shall be deemed to be waived and absolutely barred, except where the Customer can show that it was impossible for him to comply with the time limit and that he has made the claim as soon as it was reasonably possible for him to do so.
“ The purpose of this clause is to ensure that the BIFA Member has written notice within a reasonably short time
20 | July 2024
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