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Q&As
Detailed information on the right to a statutory redundancy payment can be found in Practice Note: Entitlement to statutory redundancy payment. An employee is entitled to a statutory redundancy payment if: • they are an employee • they have been continuously employed for not less than two years at the ‘relevant date’ • they have been dismissed, and • the dismissal was by reason of redundancy For these purposes, ‘dismissal’ means any situation where: • the employer terminates the contract, with or without notice • a limited term contract comes to an end and is not renewed • an employee terminates the contract, with or without notice, in circumstances where they are entitled to do so by reason of the employer’s conduct and do so (except where the employee
Q&As
This Q&A considers whether express drafting is required for commercial indemnity provisions in the light of the extended fixed recoverable costs regime. It does not cover drafting settlement agreements, for more information on which, see Practice Notes: Settling disputes—drafting the settlement agreement and Settlement—costs recovery—Settlement after commencement of proceedings—no order as to costs. What is the extended fixed recoverable costs regime? Fixed recoverable costs (FRC) are the set amount of legal costs that a successful party can recover from their opponent.  The FRC regime historically applied to personal injury cases, road traffic accident cases, employers’ liability cases and public liability cases up to £25,000 in value. For proceedings issued from 1 October 2023 the FRC regime is extended to cover most civil cases (with some exceptions) with a value of up to £100,000. Where it applies costs will be limited to the fixed costs set out in the applicable table under the new Civil Procedure Rules,
Q&As
The Law Society’s Conveyancing Protocol came into force on 1 April 2011 and became mandatory for members of the Conveyancing Quality Scheme (CQS). The Protocol has 12 general obligations designed to highlight to conveyancers the standards expected of them. It stresses that the overriding obligation to act in the best interest of
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Commercial analysis: Did bribery by an intermediary and a corrupt manager extend to the wider relationship between the parties, and was there an agency arrangement? Anna Myrvang, legal director at Clyde & Co LLP, looks at the majority decision of the Court of Appeal in UBS AG (London Branch) and another v Kommunale Wasserwerke Leipzig.
Q&As
It is assumed that the question relates to the requirement for the outgoing party to sign a novation agreement. Novation occurs when an outgoing party 'transfers' its obligations and rights under the agreement to an incoming party, so that the incoming party 'steps into the shoes' of the outgoing party and forms a contractual relationship between the remaining party and the incoming party. The effect of a novation is to extinguish the original contract, and substitute it with a new contract, under which the same rights and obligations are to be enjoyed and performed but by different parties, and with the outgoing party released from all future liabilities under the contract. For a valid novation, there must be: • consideration, and • consent The consent of all the relevant parties is required for novation.
PRACTICE NOTES
Consumer protection legislation applies to businesses generally and to the regulated financial services sector. This Practice Note considers the obligations for firms authorised by the Financial Conduct Authority (FCA) under the Financial Services and Markets Act 2000 (FSMA 2000) (herein referred to as ‘firms’) to comply with one of the pillars of consumer protection legislation, the Consumer Rights Act 2015 (CRA 2015) and its predecessor, the Unfair Terms in Consumer Contracts Regulations 1999, SI 1999/2083 (UTCCRs). In addition to these legislative requirements, firms must also comply with the FCA’s regulatory rules and take note of regulatory guidance relevant to unfair contract terms. The FCA has enforcement powers: (i) under the CRA 2015 to challenge firms about the fairness and/or transparency of contractual terms and notices in financial services consumer contracts (whether in standard form or individually negotiated) entered into from 1 October 2015, and (ii) under the UTCCRs to challenge firms about the fairness or transparency of contractual terms in standard form financial services
Q&As
For an introduction to the General Data Protection Regulation (the GDPR), Regulation (EU) 2016/679 and guidance on the meaning of ‘controllers’ and ‘processors’, see Practice Notes: Introduction to the EU GDPR and UK GDPR and Determining roles under data protection law in commercial transactions between businesses (processor, independent controller or joint controller). Practice Note: Supply chains under data protection law—arrangements between controllers and processors explains that Article 28(3) of the GDPR refers to obligations which must be imposed on processors and sub-processors by ‘a contract or other legal act under Union or Member State law’. The Information Commissioner’s Office (ICO) guidance: Contracts and liabilities between controllers and processors notes: ‘The GDPR refers to a contract “or other legal act”. But, in practice, in the UK, contracts
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A power of attorney (POA) is a document that is entered into as a deed under which one party (known as the donor) grants to the other party (known as the donee or attorney) the power to act on behalf of, and in the name of, the donor. Whether a corporation can grant a POA will depend on its constitution or governing document. A company incorporated under the Companies Act 2006 (CA 2006) will usually have an express power in its articles of association enabling it to appoint an attorney under a POA. The instrument appointing the attorney must be executed as a deed; see Precedent: Power of attorney for commercial transactions. As long as a document executed by the attorney is done so in accordance with the powers granted under the POA, it will have the same effect as if it were
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Commercial analysis: On 18 October 2017, George Fisken Ltd (GFL) and Bernard Carl entered into an agreement by which Mr Carl sold a classic Ferrari motor car to GFL for US$44m. The written sale agreement noted that Mr Carl did not have possession of the car’s gearbox which was understood to be with Cenepa, a mechanic in California, but subsequently misplaced, and that an adjustment in the price had been made accordingly. The agreement required Mr Carl to use his best efforts to deliver the gearbox to GFL, if necessary pursuing third parties other than Canepa, in certain circumstances give rise to additional liability upon GFL. After the gearbox had been located, GFL claimed delivery up. Mr Carl resisted this, at least without the payment of a further fee of US$500,000 to which he claimed entitlement under those outcomes set out in the sale agreement. This dispute concerned the interpretation of the agreement, while also considering principles of agency, estoppel by convention, and remedies for breach of contract. Written by Graeme Kirk, barrister, at Lamb Chambers.
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The Competition and Markets Authority (CMA) has published an open letter to domestic heating oil suppliers on the use of fair and transparent terms and conditions in consumer contracts. The letter follows a consumer protection review commenced in March 2026 in response to concerns arising from the conflict in the Middle East. The review found that some suppliers cancelled orders for hundreds of customers who ordered through an intermediary site when prices surged and supply was temporarily restricted, which may have resulted in breaches of contract. The letter reminds suppliers that consumer contract terms must be fair and transparent, particularly where they seek to remove or reduce liability for non-performance or delay.
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The Joint Contracts Tribunal (JCT) has announced that the 2024 edition of the Standard Building Contract (SBC) will be released on 21 August 2024. This release comprises several SBC contracts and documents, as well as 2024 Collateral Warranty Documents.
Q&As
The commentary from Ross on Recovery Of Overpayments And Underpayments sets out the principle that a tenant who has overpaid a service charge should be able to recover that overpayment. You may also find the commentary from Hill and Redman's Law of Landlord and Tenant, on Restriction on the recovery of the costs of proceedings by way of service charge provides useful background information. From a practical perspective it would appear that the seller is the relevant party for the purposes of the ongoing tribunal proceedings and in order to ensure that the seller retains the right for