What does term and conditions apply mean?

Answer 1

Thankfully the vast majority of consumers never have to get to grips with the meaning of the phrase "Terms and conditions apply" . The closest encounter is generally in radio adverts where this disclaimer is tacked on to the end of the advert in a very hurried voice. Often the phrase is trivialised by adding humorous comments or funny voices. The purpose of the disclaimer however is more serious and it puts the onus on the consumer to find out what these terms and conditions are.

However for the consumer this is not all as bad as it might seem. Firstly the phrase "Terms and conditions apply" is a two edged sword since it is equally binding on the advertiser. They cannot rely on the terms of the contract if they are in breach of their contract obligations.

Secondly, no matter what the terms and conditions say, the law implies certain conditions in consumer contracts. For instance it is implied in every consumer contract for the sale of goods that the goods will be of satisfactory quality and that they are fit for their normal purpose.

Thirdly, there are certain terms and conditions which are designated in law as "unfair terms" and these terms are simply not enforceable. An unfair term is one that can cause a significant imbalance in the parties' rights and obligations, to the detriment of the consumer. An example of this is a term which gives the supplier of goods or services the right to unilaterally change the terms of the contract.

Finally there is a rule of construction known as the " Contra Proferentem" rule sometimes used by the courts to resolve ambiguities in contracts. This rule interprets an ambiguity against the party who drafted the contract. Since consumers do not draft trade contracts, this means in effect that the ambiguity would generally be interpreted in favour of the consumer.

So when you next hear the speeded-up voice telling you that "Terms and conditions apply" remember that if they are unfair terms they probably don't apply, and even if they are not unfair, the law is inclined to interpret them in favour of the consumer.