Chapelton v Barry Urban District Council [1940]

Court: Court of Appeal

Facts: David Chapelton visited Cold Knap beach, where deckchairs were available for hire by the Barry Urban District Council. A notice near the deckchairs stated the hire fee as "2d. per session of 3 hours." Chapelton took two chairs and paid the attendant, receiving a ticket that included an exclusion clause exempting the council from liability for accidents or damage. The chair collapsed, causing injury to Chapelton. He sued the council for negligence, but the council argued that the exclusion clause on the ticket should limit their liability.

Issue: Could the exclusion clause in the ticket, issued after the hire agreement, be incorporated into the contract?

Held: The Court of Appeal ruled in favor of Chapelton. The ticket was deemed a receipt and did not incorporate the exclusion clause into the contract because the contract had already been formed when Chapelton hired the chair by picking it up and paying for it. The display of chairs and the notice constituted a complete offer, which Chapelton accepted when he paid for the chair.

Key Judicial Statements - Slesser LJ: Emphasized that the display of chairs and the notice constituted the entire offer. The receipt (ticket) was not part of the offer but served merely as proof of payment. The absence of any liability limitation in the initial offer meant that the subsequent ticket could not alter the contract's terms.

💡 Leveluplaw: This case highlights that a display of goods with clear terms can constitute a complete offer, and terms added after the contract formation, such as those on a ticket, generally cannot be incorporated into the contract