In Commercial Transactions,courts View Exemption Clauses as Having Been Negotiated

question 7

True/False

In commercial transactions,courts view exemption clauses as having been negotiated terms of the contract with consideration calculated on the basis of the liability associated with the clause and,therefore,are reluctant to overturn these clauses when they are clear and contain no ambiguity.

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Definitions:

Compounded Quarterly

Interest calculation method where interest is added to the principal sum of a deposit or loan every quarter, influencing the amount in the next quarter.

Promissory Note

A monetary contract where one party commits to paying a distinct sum to another party, either on call or at a set date ahead.

Compounded Semi-Annually

Refers to the process where interest is added to the principal balance of an investment, loan, or deposit twice a year, leading to interest earning on interest previously accumulated.

Initial Investment

The upfront sum of money used to start an investment or project.