What are circumscribing application of courts

What are circumscribing application of courts?

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The courts try to circumscribe their application in several ways:

1. If there was inadequate notice of the term, the injured party will not be bound by it.

2. An exemption clause will be very strictly construed against the drafting party.

3. An exemption clause will not excuse a fundamental breach, i.e., one so serious that it defeats the whole purpose of the contract, unless the clause directly excuses such a breach or unless the clause was intended by both parties to have such an effect.

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