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Contracts often seek to exclude one or both parties' liability for consequential losses in broad brush terms. The scope of these exclusions may not always be as extensive as the parties envisage.

The courts have consistently determined that a contracting party must use clear and unequivocal language if it wishes to exclude or limit its liability in any way. Exclusion or limitation clauses must therefore be drafted with care in order to cover intended categories of loss.

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