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Liquidated damages does not always need to be genuine pre-estimate of loss to be enforceable – Azimut-Benetti v Healey, High Court

8 November 2010 | Mark Weston

Liquidated damages are clauses in contracts that provide for a pre-agreed value to be paid in the event of a breach of contract by one of the parties. Commonly, they are used when there is a delay to performance....

Tags on this discussion: agreement breach breach of contract commercial commercial agreement commercial agreements Commercial contract commercial contracts commercial law commercial purpose contract contracts delay freedom of contract guarantee High Court invalid late liquidated damages penalty penalty clause pre-estimate summary judgment terminate termination unenforceable void

Software reseller’s failure to provide accurate information entitled licensor to terminate – Softlanding Systems v KDP, Court of Appeal

5 November 2010 | Mark Weston

KDP licensed S to act as a reseller for KDP’s software. The agreement required S to pay royalties and provide reports and certain information to KDP, including who the end users were, the contracts with...

Tags on this discussion: agreement breach of contract commercial agreement commercial agreements Commercial contract commercial contracts contract contract law contracts Court of Appeal High Court IT IT agreement IT contract reseller royalty Software terminate termination

Court of Appeal sets out guidance for how long to wait when terminating a contract for other party’s repudiatory breach – Force India v Etihad, Court of Appeal

21 October 2010 | Paul Gershlick

Etihad Airways – the Abu Dhabi airline – was a sponsor of the Force India Formula One racing team when the team had been called Stryker. The team had a further investor which owned the Kingfisher beer...

Tags on this discussion: affirm affirmation breach commercial commercial agreement commercial agreements Commercial contract commercial contracts commercial law Court of Appeal damages delay fundamental breach High Court misleading repudiation repudiatory breach sponsorship termination waiver

Not renegotiating a bad bargain did not constitute breach of duty of good faith – Gold Group Properties v BDW, High Court

17 August 2010 | Paul Gershlick

Gold had entered into an agreement with BDW (formerly Barratt Homes) to build some properties on Gold’s land. BDW would pay minimum fee per property and the parties would share revenue. The contract...

Tags on this discussion: agreement breach breach of contract commercial agreement Commercial contract contract contract law contracts duty force majeure fundamental fundamental breach good faith High Court obligation repudiation repudiatory breach terminate termination

Limitations of retention of title clause exposed as it is deemed to be ineffective for stock sold on – Bulbinder Singh Sandhu v Jet Star Retail, High Court

12 August 2010 | Paul Gershlick

Sandhu supplied clothes to JSR, a retailer. The supply contract contained an ‘all monies’ retention of title clause. That clause provided that title in the goods would not pass to JSR until payment...

Tags on this discussion: agreement all monies breach breach of contract clause commercial agreement Commercial contract contract contract law contracts guarantee High Court ineffective purchase agreement purchase contract retention of title Romalpa supply agreement supply contract termination unenforceable

Don’t be so casual with use of easy name and up your game, Stelios tells easyJet

23 July 2010 | Mark Weston

Stelios Haji-Ioannou – the founder of easyJet - has told the airline that it must improve its performance if it wants to continue using the ‘easy’ name. Although he was the founder, his family are...

Tags on this discussion: agreement brand branding brands breach breach of contract commercial agreement Commercial contract commercial contracts contract contracts Intellectual property intellectual property rights IP licence termination trade mark trade marks

Software contract clause limiting warranty to operating documents that had not been provided was unreasonable – Kingsway Hall v Red Sky, High Court

14 May 2010 | Mark Weston

Red Sky supplied booking and billing software to a busy hotel, Kingsway Hall. ‘Entirety’ was a standard system, but Kingsway soon had trouble with it. The system failed to show room availability, group...

Tags on this discussion: breach breach of contract contract contract law contracts damages exclusion of liability fit for purpose IT limitation on liability loss of goodwill loss of profits reasonable reasonableness sale of goods sale of goods act satisfactory quality Software supply of goods and services act term termination Terms & conditions UCTA unenforceable unfair contract terms act warranty

Timing!

29 April 2010 | Paul Gershlick

How important is timing? Well, very. Ask any comedian. Funny words at the wrong time doesn't get a laugh, but with comic timing they do. Ask Gordon Brown. Of all the times to make a gaffe...

Tags on this discussion: contract contract law contracts notice termination timing

‘Perpetual’ can have different meanings but depending on the context perpetual agreements may be terminated – BMS Computer Solutions v AB Agri, High Court

24 March 2010 | Paul Gershlick

BMS had entered into two agreements with a licensee of its software – one for the licence and the other was a support and maintenance agreement. The licence agreement was for 10 years but subject to...

Tags on this discussion: IT agreement licence novation perpetual Software support and maintenance termination variation

Getting termination notice wrong meant innocent party could not claim for its US$15m losses – Shell v Dana Gas, High Court

18 March 2010 | Paul Gershlick

S and D entered into an agreement. Clause 3.1.8 said that if the closing date had not occurred within nine months, then S could terminate the contract by 30 days’ notice, but S would not get back its...

Tags on this discussion: breach of contract contract contract law contracts repudiation repudiatory breach termination

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Latest news and views tagged termination

Liquidated damages does not always need to be genuine pre-estimate of loss to be enforceable – Azimut-Benetti v Healey, High Court

Software reseller’s failure to provide accurate information entitled licensor to terminate – Softlanding Systems v KDP, Court of Appeal

Court of Appeal sets out guidance for how long to wait when terminating a contract for other party’s repudiatory breach – Force India v Etihad, Court of Appeal

Not renegotiating a bad bargain did not constitute breach of duty of good faith – Gold Group Properties v BDW, High Court

Limitations of retention of title clause exposed as it is deemed to be ineffective for stock sold on – Bulbinder Singh Sandhu v Jet Star Retail, High Court

Don’t be so casual with use of easy name and up your game, Stelios tells easyJet

Software contract clause limiting warranty to operating documents that had not been provided was unreasonable – Kingsway Hall v Red Sky, High Court

Timing!

‘Perpetual’ can have different meanings but depending on the context perpetual agreements may be terminated – BMS Computer Solutions v AB Agri, High Court

Getting termination notice wrong meant innocent party could not claim for its US$15m losses – Shell v Dana Gas, High Court

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