As much as the unfettered entrepreneur would like to act otherwise, the fact is that contracts do not exist in a vacuum. In all legal systems the principles of justice (dressed up in common law jurisdictions as the white knight of equity) as well as statute and case law try to impose standards of reasonableness in contracts.
It is critical that we can avoid or minimise the impact of any challenges to contract provisions by staying within those standards.
This month’s discussion covers exactly that point. In addition, on page 2 you will also find the solutions to the quiz in the last issue.
Have fun with your contracts!
Stuart Bugg