Tag Archives: Termination

Terminating your contract: When can you call it quits?

Parties to commercial contracts may wish to exit their contractual arrangements for all sorts of reasons. In many cases, they will have included in their contract a right to terminate in particular circumstances, and a process for doing so. Even … Continue reading

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Court of Appeal finds party in repudiatory breach of contract due to repeated late payments

The Court of Appeal has recently found that a shipowner was entitled to terminate for repudiatory breach where the hirer was in persistent breach of an obligation for the punctual payment of hire: Spar Shipping AS v Grand China Logistics … Continue reading

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English law contracts post-Brexit: What changes should commercial parties expect?

The core principles of English contract law, such as interpretation of contracts and remedies for breach, will not be affected by Brexit and the key attractions of English law will remain. Brexit may, however, have implications for particular aspects of … Continue reading

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No implied obligation of good faith in exercising contractual right of termination

The High Court has again considered the circumstances in which a duty of good faith will be implied into a contract, rejecting an argument that a party's contractual right to terminate a consultancy contract had to be exercised in good … Continue reading

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Court of Appeal finds innocent party could not affirm contract following repudiatory breach where defaulting party unable (not just unwilling) to perform

The Court of Appeal has upheld a decision that a party was not entitled to keep a contract alive for the purpose of claiming ongoing liquidated damages for delayed performance following its counterparty’s repudiatory breach: MSC Mediterranean Shipping Company S.A. … Continue reading

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Contractual requirement to give notice calling for breach to be remedied did not apply to termination for repudiatory breach

The High Court has found that a notice requirement within a contractual termination clause did not apply where a party terminated at common law following the counterparty's repudiatory breach of contract: Vinergy International (PVT) Limited v Richmond Mercantile Limited FZC … Continue reading

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High Court finds multi-party LLP agreements cannot be terminated for repudiatory breach

In a case that will be of interest to those in the fund management industry and all other areas of business in which corporate structures regularly involve LLPs (including, for example, professional services firms), the High Court has held that … Continue reading

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Good faith principles applied to question of whether innocent party could keep contract alive following repudiatory breach

The High Court has held that a party was not entitled to keep a contract alive indefinitely for the purpose of claiming ongoing liquidated damages for delayed performance following its counterparty’s repudiatory breach: MSC Mediterranean Shipping Company S.A. v Cottonex … Continue reading

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Court of Appeal finds deliberate non-payment did not justify termination

In a recent decision, the Court of Appeal held that the deliberate withholding of payments due under a contract, in circumstances where the counterparty could expect to receive payment eventually, did not amount to a repudiatory breach so as to … Continue reading

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Court of Appeal confirms high threshold for delay in performance to be repudiatory

The Court of Appeal recently held that a developer’s delay in carrying out works did not amount to a repudiatory breach of an agreement for lease: Telford Homes (Creekside) Limited v Ampurius NU Homes Holdings Limited [2013] EWCA Civ 577.  … Continue reading

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