Question 2: 10 MarksEpick CEO, Dick Tate, shows you the draft subscription terms for Epick’s game AnimalCrossroads. Subscribers will pay a monthly fee to access the game. The terms are asfollows:
The subscription term is 12 months.The subscription fee is $29.99 per month, debited from the subscriber’s credit cardon the first of each month.If any fee payment is declined, the full balance of the remaining subscription termwill become due and payable immediately.After 12 months the subscription will renew for another 12 months unless cancelledby the subscriber.Due to the varying costs of providing online services, the subscription fee is subjectto change by up to 10% per month without notice to the subscriber and any feeincreases will be payable by the subscriber.Subscriptions cannot be cancelled prior to the expiry of the subscription term or anyrenewed subscription termPage 4Subscriptions may only be cancelled in writing in the last month of the subscriptionterm.Epick can cancel a subscription at any time and for any reason.Epick is not liable for any disruption in services, no matter how caused.Subscription fees will not be reduced to compensate for any disruptions in services.Write a memo to the CEO stating whether or not the terms above could be considered‘Unfair Contract Terms’ pursuant to legislation and why / why not. If you consider anyterms to potentially be unfair, suggest some changes that could alleviate any problems.Include AGLC referencing in this memo.There is no particular format for the memo, keep it simple and do not exceed two (2)pages. There is no need to provide or reference any cases; references shouldpredominantly be to relevant sections of legislation.There is no word count for Question 2, instead a two-page limit applies (500 words). DO not usethe 4-Step Approach for this question.
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