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Q&As
A notice under section 5D of the Landlord and Tenant Act 1987 (LTA 1987) is one which provides a tenant with a ‘right of first refusal’ to purchase the landlord’s interest in land. See Practice Note: Tenants' right of first refusal—Landlord and Tenant Act 1987. Offer notice When the landlord intends to dispose of his interest in the land, he will serve a notice on the tenants who qualify to be given a right of first refusal. See Practice Note: Tenants' right of first refusal—Landlord and Tenant Act 1987. The notice must comply with the LTA 1987, s 5A to LTA 1987, s 5E. It must be in writing and sent by post. After the notice has been sent, the landlord cannot accept any other offer or otherwise dispose of his interest in the land in the period that has been set out in the notice, except to a person nominated by the required majority of qualifying tenants. Nominated
Q&As
It will depend on whether the equitable chargee and/or the purchaser are entitled to their monies from the proceeds of sale. This will depend on the validity of the equitable charge and the entitlement of the purchaser to the deposit and whether there is a lien
Q&As
Is there a force majeure event? In English law, the expression ‘force majeure’ does not refer to a legal doctrine. Instead, the expression ‘force majeure clause’ is used to describe a contractual term which provides that, on the happening of a specified event or event beyond the parties’ control, one (or both) of the parties: • is entitled to cancel the contract (or it may be cancelled automatically) • is excused from performance of the contract, in whole or in part • is entitled to suspend performance or to claim an extension of time for performance Whether or not a force majeure clause will assist in suspending performance obligations under a contract or give rise to a right to terminate a contract will be subject to the particular drafting of the clause and the general principles of contractual interpretation should be applied. See Practice Notes: Contract interpretation—the guiding principles and Contract interpretation—rules of contract interpretation. It will be necessary to check to see if the definition
PRACTICE NOTES
This Practice Note is for use when determining applicable law where the contract was entered into on or after 1 January 2021. For contracts entered into before 1 January 2021, a different applicable law regime will be applied by the UK courts. Which regime will apply will depend on the date on which the contract was entered into. For guidance on the different regimes and their interrelationship, see Practice Note: Applicable law regimes. This Practice Note refers to UK Rome I, Regulation (EC) 593/2008. This regulation is applied when determining applicable law in cases in which the contract was entered into on or after 1 January 2021. Originally known as Retained Rome I, since 1 January 2024, it is known as Assimilated Rome I—the change is to the name only and not the provisions within the regulation. Authorities may refer to the regulation using either name and so, for ease of reference, the regulation is referred to as UK Rome I in this Practice Note. For information on assimilated law,
Q&As
Transparency The underlying principle in relation to disclosure of information during public procurement procedures is that contracting authorities must act in a transparent manner (see Public Contracts Regulations 2015 (PCR 2015)SI 2015/102, reg 18). This is so that interested parties are aware of the reasons for the decisions of contracting authorities and can defend their rights. Contracting authorities must be careful to balance their duty of disclosure with the protection of tenderers' confidential information. PCR 2015 makes specific provision in relation to disclosure upon contract award (see reg 86) as well as protection of confidential information (see reg 21). For background reading, see Practice Notes: Procurement correspondence—general principles—pre-PA 2023 [Archived] and Procurement correspondence—specific procedures and examples—pre-PA 2023 [Archived]. Notices of decisions to award a contract or conclude a framework agreement Regulation 86 sets out details of the notices a contracting authority is required to send tenderers
Q&As
Position where the contract for sale is silent in relation to environmental liabilities If a contract for the sale of land is silent in relation to environmental liabilities, the position on who is liable depends on a number of factors such as the nature of the liability, who caused or knowingly permitted the issue and when it occurred. For example, there are several types of liability for land contamination including liability for contaminated land under Part IIA of the Environmental Protection Act 1990 (EPA 1990). (see Practice Note: Land contamination—potential liabilities). Liability for contaminated land
NEWS
Construction analysis: The Technology and Construction Court (TCC) held that a contractor had served a valid payment and pay less notice in relation to an interim payment dispute. The judgment gives important guidance on the timing and form of payment and pay less notices, and payee’s notices in default, addressing several matters that have not been considered in prior decisions. It also brings into question whether certain provisions of the Joint Contracts Tribunal (JCT) forms of sub-contract comply with the payment requirements of the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996).
Q&As
Where notice of termination of employment is given, either by the employer or the employee, and the employee has been continuously employed for one month or more, then, in broad terms, the employee is entitled to be paid a week’s pay for each week of the statutory notice period. However: • the liability of the employer to the employee is limited to the period of statutory notice to which: • the employee is entitled, if notice is given by the employer • the employer is entitled, if notice is given by the employee • the rights that otherwise arise during a period of statutory minimum notice do not
PRACTICE NOTES
This Practice Note considers the application of the applicable law regime set out in the Contracts (Applicable Law) Act 1990 in cases in which the parties have not chosen the applicable law. It sets out the basic rule, which is that the law of the country ‘most closely connected’. It explains the presumptions applied to determine the most closely connected country and when those presumptions can be disregarded. To determine whether the applicable law regime set out in C(AL)A 1990, applies, see Practice Note: Applicable law—a guide for dispute resolution practitioners. For guidance on the position where the parties have chosen the applicable law, see Practice Note: Contract (Applicable Law) Act 1990—applicable law chosen by the parties. C(AL)A 1990, Sch 1 sets out a modified form of the Rome Convention as applied by the courts in England and Wales (English courts). This Practice Note refers to: • the Official Report on the Rome Convention by Professors Giuliano and Lagarde, an explanatory report on the interpretation of the convention.
Q&As
Generally, whether or not a contractual term operates after termination is a question of construction (Port Jackson Stevedoring Pty Ltd v Salmond and Spraggon (Australia) Pty Ltd). As such, each case will turn on its facts, and is dependent on how the contract was terminated, the respective obligations of the parties and any explicit wording in the agreement that addresses survivorship. Termination of contracts In determining the whether or not a clause can survive the end of the agreement in which it was contained, it is important to consider whether the agreement has expired or been terminated early, and if terminated early, on what grounds. Practice Note: Termination and expiry of contracts provides an overview of the different ways which a contract may be brought to an end, and this may impact the availability of remedies after an agreement has come to an end. It also should
CHECKLISTS
ARCHIVED: This Checklist has been archived and is not maintained. This practical guidance relates to the pre-Procurement Act 2023 regime This Checklist sets out the general process by which an economic operator defined as ‘any person or public entity or group of such persons and entities, including any temporary association of undertakings, which offers the execution of works or a work, the supply of products or the provision of services on the market’ can challenge a decision of a contracting authority under the Public Contract Regulations 2015 (PCR 2015), SI 2015/102 to exclude them from a public procurement, and highlights some of the possible routes of challenge available to oppose debarment. This Checklist contains guidance relevant to public procurement exercises commenced before the Procurement Act 2023 (PA 2023) came into force on 24 February 2025. In-scope procurements begun on or after this date are governed by PA 2023. Under the transitional and savings provisions for PA 2023, the previous public procurement regimes continue to apply to the
NEWS
Arbitration analysis: In a decision given in October 2024, the Delhi High Court (DHC) exercised its prima facie jurisdiction under Section 11(5) of the Indian Arbitration and Conciliation Act, 1996 (A&C Act) to partially allow a petition to commence arbitration against certain non-signatories to an arbitration agreement on the basis of the non-signatories’ ‘positive, direct, and substantial’ involvement in the negotiation or performance of the underlying contract containing the arbitration agreement. Accordingly, the DHC found the non-signatories to be veritable parties, leaving the ultimate decision about whether the non-signatories were, in fact, bound by the arbitration agreement to the arbitral tribunal. Written by Juhi Gupta, counsel and Ayan Tandon, associate at Shardul Amarch and Mangaldas & Co.