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NEWS
IP analysis: This analysis considers the Court of Justice’s preliminary ruling on the question of whether a breach of a contractual licence for the use of computer software can constitute copyright infringement and accordingly whether it falls within the concept of ‘infringement of intellectual property rights’ pursuant to Directive 2004/48. The preliminary ruling considers the appropriate interpretation of Directives 2004/48 and 2009/34 in relation to this question and deals with the Directives’ compatibility with France’s national law, in particular the principle of non-cumulation which prevents a party from bringing a claim in tort where there is a claim in contract. Written by Nicole Bollard, barrister, at 3PB Barristers.
NEWS
Dispute Resolution analysis: The Court of Appeal addressed in this case the interesting question of when it might be possible to exclude the right of a disclosed principal from enforcing and/or relying on the terms of a contract which does not expressly exclude such a principal from its remedies. The court considered the rare circumstances in which that might be a possibility, noting that they are rare indeed, as there is a strong presumption against finding that a disclosed but unnamed principal has given up their contractual remedies. Written by Adam Heppinstall, barrister, Henderson Chambers.
NEWS
Construction analysis: The Technology and Construction Court (TCC) found that a contractor had been entitled to an extension of time for completion where progress of the works had been affected by concurrent causes of delay. However, the contractor was not entitled to any further payment from the employer—the employer had lawfully terminated the contract before completion, and was entitled to recover and set off the cost of engaging a replacement contractor, which would extinguish any amount owed to the contractor. Written by Helen Dennis, barrister of 4 Pump Court.
NEWS
The Department for Energy Security and Net Zero (DESNZ) has published statutory notices under the Contracts for Difference (Allocation) Regulations 2014 to establish Allocation Round 7a (AR7a), which applies to all eligible technologies other than offshore wind and floating offshore wind. The notices collectively set the allocation framework, application window, technology pots, administrative strike prices (ASPs), contract budgets, and standard contractual terms for AR7a. DESNZ formally confirmed AR7a as a separate round from AR7 through the Allocation Round Notice issued on 23 July 2025.
NEWS
The Construction Leadership Council (CLC) has published a statement addressing the ongoing practice in the construction sector where clients and their solicitors amend industry-approved forms of contracts to introduce onerous or difficult to insure terms. The CLC asserts that such amendments can make contracts impractical, reduce competition, increase risks, and lead to unnecessary legal costs to review the resulting legal liabilities. It encourages clients to use standard form engineering and building contracts and professional services contracts issued by contract-producing bodies, and to make modifications only when necessary to address project-specific risks and relationships.
NEWS
The Ministry of Housing, Communities and Local Government (MHCLG) has taken over Ministerial responsibility for all fire functions from the Home Office. This transfer implements a key recommendation from the Grenfell Tower Inquiry’s Phase 2 report, published on 4 September 2024, which called for fire and building safety oversight to be consolidated under a single department. The Minister for Building Safety and Local Growth, Alex Norris, will oversee these newly transferred responsibilities. The Home Office will retain management of the Airwave Service Contract and continue to oversee the Emergency Services Mobile Communications Programme and HM’s Inspectorate of Constabulary and Fire and Rescue Services.
NEWS
The House of Lords Secondary Legislation Scrutiny Committee (SLSC) has published its Twenty Fifth Report of Session 2024–2025. The following instruments have been drawn to the special attention of the House: draft Protection of Children Code of Practice for search services; and the draft Protection of Children Code of Practice for user-to-user services. The following are instruments of interest: draft Human Medicines (Amendments Relating to Hub and Spoke Dispensing etc.) Regulations 2025; draft Payment Services and Payment Accounts (Contract Termination) (Amendment) Regulations 2025; and Official Controls (Extension of Transitional Periods) (Amendment) Regulations 2025, SI 2025/526.
PRACTICE NOTES
Spotting the early symptoms of client insolvency • most importantly, a consultant needs to keep alert to the client's financial status • the consultant should take heed of ongoing rumours about the client's financial position (either in the press or by word of mouth) • look out for official announcements to shareholders/the stock market (for example, profit warnings) • note any surprising or uncommercial omissions from the project made by the employer • keep aware of the employer's non-payment or late payment of the contractor or any other parties, on this project or on other projects being carried out by the employer • clearly, if the employer suspends work on the scheme without any adequate explanation or without commercial rationale, this may be a sign that the employer is unwilling to finance further work • confirm suspicions by carrying out a Dun & Bradstreet search/report, which should disclose, for example, any unsatisfied court judgments against the client Consultant methods of protecting itself in advance There are various ways in which a
PRACTICE NOTES
The derivative contracts regime provides the rules for the taxation and relief of a company’s profits and losses arising from its ‘derivative contracts’. The rules are found primarily in Part 7 of the Corporation Tax Act 2009 (CTA 2009), referred to in this Practice Note as Part 7. Some secondary legislation is also relevant, particularly the regulations commonly known as the ‘Disregard Regs’ (the Loan Relationships and Derivative Contracts (Disregard and Bringing into Account of Profits and Losses) Regulations 2004, SI 2004/3256, as amended). This Practice Note looks at the rules determining how profits and losses arising from a company’s derivative contracts are computed and brought into account for corporation tax purposes. For the definition of a ‘derivative contract’ for corporation tax purposes and the types of instruments and transactions falling within the scope of the derivative contracts rules, see Practice Note: Taxation of derivatives—what are derivative contracts? For more detailed coverage of specific aspects of the derivative contracts rules, see Practice Notes: • Taxation of derivatives—chargeable gains basis rules • Taxation of derivatives—anti-avoidance • Taxation of
NEWS
Commercial analysis: Simon Winter, partner at Charles Fussell & Co LLP, examines the background to the Wright v Rowland case involving a contractual and a quantum meruit claim. He also assesses the practical implications of the judgment which provides a stark reminder that any commercial party involved in a dispute over an agreement which isn’t committed to writing is facing an uphill struggle.
PRECEDENTS
1 Limitation of liability 1.1 The extent of the parties’ liability under or in connection with this Agreement (regardless of whether such liability arises in tort, contract or in any other way and whether or not caused by negligence or misrepresentation) shall be as set out in this clause 1. 1.2 Subject to clauses[ 1.6,] 1.7 and 1.8, the total liability of: 1.2.1 the Supplier shall not exceed the sum of £[insert]; 1.2.2 the Customer shall not exceed the sum of £[insert]. 1.3 Subject to clauses 1.5,[ 1.6,] 1.7 and 1.8, neither party shall be liable for any consequential, indirect or special losses. 1.4 Subject
Q&As
In this Q&A: • the passing rent under the underlease is the same as the passing rent under the headlease (and will remain so following rent reviews under either/both), with the intention being that payment by the undertenant will fully satisfy the tenant’s obligation under the headlease, and • the superior landlord is not a party to the underlease, but its consent is required to the grant of, and the form of, the underlease (which includes the relevant provision) We have been unable to locate any content within our resources to confirm the position. However, as a matter of contract, it appears possible for an underlease to provide