Category: Law

Good Relations

Relational contracts can be identified by looking for these characteristics: no express terms preventing an implied duty of good faith* long-term contract in context of a long-term business relationship parties intend to perform their roles with integrity and fidelity to the bargain parties are committed to collaborating in performing the

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What is Good Faith?

In Post Office v Bates (2019), the court said that in relational contracts there are implied obligations of good faith: “This means that the parties must refrain from conduct which in the relevant context would be regarded as commercial unacceptable by reasonable and honest people. An imlied duty of good

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Why risk it?

Do you know your place? According to the English courts, the very idea that a sophisticated contract was negotiated with the host of a posh drinks reception at the Wallace Collection, London would have been ‘socially dysfunctional and commercially inappropriate‘. A company specialisting in advice for mergers and acquisitions (Moorgate

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Limited guarantees

The Scottish appeal court has recently agreed with something I have been asserting for years, that a collateral warranty is impliedly limited by the scope and terms of the underlying agreement. What is a warranty? A warranty is a simple document designed to create contractual links between the provider of

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Can you rely on heads of terms?

If you don’t have a signed contract, you are creating trouble for yourself. To prove your rights and remedies, you will need to overcome various evidential hurdles to prove the 5 requirements for a contract. What happens when your carefully crafted contract is lost from a computer late at night,

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What is quantum meruit?

A claim for a reasonable sum (literally ‘the amount he deserves‘) is available either under an incomplete contract or on the principle of restitution or unjust enrichment in equity. Claims in contract Where there is a contract, quantum meruit applies where: no sum is agreed for the scope set out

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What is unjust about unjust enrichment?

Once your chat in a posh drinks reception is not upheld as a contract, you might want the court to consider if you are entitled to some money on the basis of ‘unjust enrichment’. A claim for unjust enrichment is not a claim in contract law, but in a much

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What is Practical Completion?

A recent Court of Appeal case has confirmed what I tell my workshop delegates, that practical completion is easier to recognise than define Whilst shying away from hard and fast rules, and confirming it is a matter for the contract administrator to decide, the Court said: latent defects cannot prevent

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Right to Finish

A contract is a legally binding agreement that creates mutual rights and obligations on the contracting parties. A contract not only obliges the contractor to provide specific works or services but also gives the contractor a right to finish those works or services. There are two mechanisms by which contracts

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Copying Clauses on Concurrent Delay

If you understand the principles on concurrent delay then you might also be aware of the debate whether the contract should define concurrent delay and pass its risk to the contractor. In North Midland v Cyden, the parties amended the standard JCT contract to require: the contractor to make reasonable

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