Explain THREE of the provisions declared void by the Hire Purchase Act in any hire purchase agreement.

  1. Prohibition of Withdrawal Rights: Any provision in the hire purchase agreement that attempts to restrict the hirer from withdrawing from the agreement is void.
  2. Exemption from Liability: A clause that seeks to exempt the owner from liability in case the goods do not conform to the agreed terms is rendered void by the Act.
  3. Requirement to Pay Full Installments: The Act declares void any clause requiring the hirer to pay the full price or all installments in the event of a default in payment.

Explanation:

This question focuses on identifying specific provisions in hire purchase agreements that are rendered void by the Hire Purchase Act. These void provisions protect the hirer from unfair terms in the agreement, especially when withdrawing from the contract, liability exemptions, and payment obligations.

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