Compliance in the supply chain

This subtopic brings together materials of relevance relating to compliance with various laws in relation to the supply chain.

Precedent: Compliance with law and regulation clause is a boilerplate clause which can be used in a supply chain contract to set out a general obligation on the parties to comply with laws and regulations.

Bribery

This part of the subtopic considers the key aspects of the Bribery Act 2010 (BA 2010), where the risk of bribery and corruption arises in the supply chain, and how that risk can be managed contractually. Bribery and corruption continue to remain a major issue in world trade, despite dedicated efforts to prevent them over many years.

BA 2010 applies to any commercial organisation that is incorporated or trades in the UK. It covers bribery committed by the organisation, or on its behalf, in the UK and, crucially for many commercial organisations, anywhere else in the world (ie BA 2010 has extraterritorial effect). Other jurisdictions have anti-bribery and corruption laws and many organisations are subject to the broad US Foreign Corrupt Practices Act 1977 (FCPA 1977).

For

To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.

TAKE A FREE TRIAL

Latest Commercial News

DBT publishes consultation outcome following review of UK Internal Market Act 2020

The Department for Business and Trade (DBT) has published the outcome of its review and consultation on the operation of the UK Internal Market Act 2020. The review, which covered Parts 1, 2, 3 and 4 of the Act, sought views on what is and is not working well. It focused on the market access principles for goods and services, the recognition of professional qualifications and the role of the Office for the Internal Market. DBT received 85 responses and held six stakeholder meetings across the four nations. The outcome sets out a series of actions the UK government intend to take to improve the operation of the Act, particularly in relation to the exclusions process and intergovernmental engagement.

Court of Appeal—doctrine of undisclosed principal and the law of agency (Berge Bulk Shipping Pte Ltd v Taumata Plantation Ltd)

Dispute Resolution analysis: On 10 July 2025, the Court of Appeal (Males, Falk and Zacaroli LJJ) unanimously dismissed an appeal against an order holding that the English court had no jurisdiction to hear a claim against three New Zealand companies regarding various letters of indemnity. David Bailey KC and James Goudkamp represented the successful respondents/defendants. The court’s decision constitutes the leading modern articulation of the law governing undisclosed principals, and is a landmark judgment in the law of agency more generally.

PECR 2003 reform—rules relating to electronic marketing and cookies in the UK

Commercial analysis: The Data (Use and Access) Act (DUAA 2025) that received Royal Assent in June 2025 is bringing several changes to the Privacy and Electronic Communications (EC Directive) Regulations 2003 (PECR 2003), SI 2003/2426, in relation to fines, cookies, and breach notification timeframes, as well as the addition of the definition of direct marketing brought over from DPA 2018. Oliver Yaros and Ana Hadnes Bruder, partners, Reece Randall, Ellen Hepworth, Alasdair Maher and Katie Steval, associates, and Laura Taylor, trainee, of Mayer Brown International LLP, review these changes.

OPSS research outlines key AI regulatory developments in UK and globally

The Office for Product Safety and Standards (OPSS) has published research detailing major AI regulatory changes. The UK's Product Security and Telecommunications Infrastructure Act 2022, effective from April 2024, introduces security requirements for consumer connectable products with fines up to £10m or 4% of worldwide revenue for breaches. The EU enacted its AI Act in March 2024, requiring assessment of high-risk AI systems and prohibiting certain applications. While the UK maintains a non-statutory approach, focusing on existing regulators developing tailored frameworks, the government has indicated plans to legislate specifically for powerful AI models. The research also notes China's generative AI law from August 2023 and South Korea's new AI industry framework, while Japan and Singapore currently rely on non-statutory guidelines.