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(1)This section applies if a term of a contract (“the secondary contract”) reduces the rights or remedies or increases the obligations of a person under another contract (“the main contract”).
(2)The term is subject to the provisions of this Part that would apply to the term if it were in the main contract.
(3)It does not matter for the purposes of this section—
(a)whether the parties to the secondary contract are the same as the parties to the main contract, or
(b)whether the secondary contract is a consumer contract.
(4)This section does not apply if the secondary contract is a settlement of a claim arising under the main contract.
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Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.
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