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Q&As
It is often the case on the sale of, for example, development land, that the vendor requires compliance with certain provisions contained in the contract of sale which do not merge in the transfer or are specifically set out in the transfer before any sale of the land or any part of it may be registered. This most commonly occurs in relation to overage provisions, where a vendor sells land with either limited or no planning permission for development and without taking a sum for hope value. The vendor may then require a share of any uplift in value to be paid to him if the purchaser/developer obtained specific planning permission or more extensive and valuable planning permission than existed at the time of
Q&As
Agricultural tenancies and residential property let to agricultural workers generally The Agricultural Tenancies Act 1995 (ATA 1995) governs tenancies of agricultural holdings created on or after 1 September 1995. The Agricultural Holdings Act 1986 (AHA 1986) continues to apply to all agricultural tenancies created before 1 September 1995, and to certain tenancies (principally succession tenancies) granted after that date which are specifically excluded from the application of ATA 1995. AHA 1986 continues to apply to tenancies granted by a written contract of tenancy entered into before 1 September 1995 and indicating (in whatever terms) that AHA 1986 is to apply in relation to that tenancy. See Practice Note: Agricultural tenancies to which the Agricultural Holdings Act 1986
Q&As
The law of restitution is an area which excites significant academic commentary, but which remains in a state of development in terms of its practical application. Restitutionary claims are founded on the principle that a gain obtained by person A may be subject to a claim by person B in certain circumstances where the gain should instead have benefitted person B. It is therefore distinct from compensatory claims (such as for example in the tort of negligence or for breach of contract). Unjust enrichment is the most common form of restitutionary claim. An example is a payment made by B to A by mistake, or where B has carried out work for A in the expectation of payment but without any contractual entitlement
Q&As
As identified in Practice Note: Defects liability period and rectification of defects, there is no ‘standard’ definition of what constitutes a defect in building works. The precise meaning and scope of ‘defect’ will depend upon the terms of the contract in question (including any express definition of ‘defect’). For further information, see: Defects liability clauses: Emden's Construction Law by Crown Office Chambers [12.24]. General definition of ‘defect’ The courts have previously attempted to define ‘defect’ in a range of legal claims but no clear definition has prevailed. The case of Tate v Latham & Son (1876) 1 QB 502 (unavailable on Lexis®Library) defined a defect as ‘as lack or absence of something essential to
Q&As
Parties to a marriage cannot contract out of the court’s jurisdiction to make orders for financial provision on divorce. If parties are concerned to try to regulate their affairs in the event that their relationship ends this Q&A asks whether this should be done by entering into a declaration of trust or a post-nuptial deed and which will be given greater weight. Declaration of trust A declaration of trust should be an express declaration of trust and, as it relates to real property, it must comply with the Law of Property (Miscellaneous Provisions) Act 1989 (LP(MP)A 1989). The declaration of trust will declare the spouses’ respective beneficial interests in the property. While this may be binding in relation to third parties, the court retains its powers under section 24 of the Matrimonial
Q&As
This response considers the extent of the powers of a mortgagee once the mortgagor has defaulted in complying with an obligation arising under a mortgage. It draws the distinction between the powers of a mortgagee of residential premises and one of commercial premises. As Harman J put it graphically in Four-Maids Ltd v Dudley Marshall (Properties) Ltd, ‘The mortgagee may go into possession before the ink is dry on the mortgage unless there is something in the contract, express or by implication, whereby he has contracted himself out of that right…If there is a provision that, so long as certain payments are made, he will not go into possession, then he has contracted himself out of his rights. Apart from that, possession
Q&As
A 'night worker' is one who: • 'as a normal course' works at least three hours of their daily working time during night time • is specified as a night worker in a collective agreement or workforce agreement For further information generally, see Practice Note: Hours of work and working time—Night work. 'Night time' is, by default,  the period between 11pm and 6pm. This can be varied by a relevant agreement (eg a contract of employment) to be any period which: • is a period of not less than seven hours, and • includes the period between midnight and 5am A person work hours 'as a normal course' (without prejudice to the generality of that expression) if they work such hours on the majority of days on which they work. This has been
Q&As
The starting point is that when V sells land to P, they can agree to enter into covenants which as a result of privity of contract bind them both, potentially even after P no longer owns an interest in the land. Difficulties emerge however, when either of them, in particular P, disposes of the interest in land. The question then becomes whether V can enforce the covenants against P's successor. The answer to this question depends upon whether the obligation is positive or negative, that is whether it required P to do something or to refrain from doing something. If the covenant required P to do something, then the general rule at common law is that P's successor is not bound by it: Rhone v Stephens. If however the covenant imposes a restriction,
Q&As
The critical path is an important feature of the programme prepared in respect of a construction project. Whether or not an activity is on the critical path can affect the impact that a delay might have on the project overall. Therefore, identifying whether an activity was on the critical path, can be significant in relation to claims by the contractor for time/money. The programme is the document, usually prepared by the contractor at the start of the works, which records the contractor’s sequencing and timing for carrying out the works. It presents the timeline that the contractor proposes to build to, showing activities occurring between particular dates. It also helps the employer and contract administrator
PRECEDENTS
1 Introduction 1.1 This document sets out the purpose of the Company’s quiet room. This policy is for guidance only and does not form part of your contract of employment. The Company may alter the terms of this policy from time to time and details of any alterations or additions will be notified to you. 1.2 The Company has introduced a quiet room policy for employees or visitors of all faith groups, and none, to use during work breaks for quiet religious observance or non-religious meditation and reflection. The quiet room is not intended for reading, exercise, catching up with emails, telephone calls or other mobile, laptop or tablet device activity. 1.3 The Company
Q&As
On 4 November 2015, the Supreme Court handed down its judgment in ParkingEye v Beavis and Cavendish Square v El Makdessi, two associated cases on penalty clauses in commercial contracts. In the cases, the court reviewed the development of the law of penalties and clarified a new 'true test' which must be considered when assessing whether a clause is an unenforceable penalty. The new broader test, which incorporates the concept of 'legitimate interest', means that businesses may now seek to impose charges in more circumstances, such as where a customer or client is late or doesn't turn up. What is the new 'true test'? The court set out its 'true test' for penalties in contract law. The questions under this new, broader test are as follows: • is the penalty rule engaged at all? • is there a legitimate interest served and protected by the clause? • if so, is the provision purporting to serve that interest disproportionate (by being extravagant, exorbitant or unconscionable)? If
Q&As
It is rare for the joint venture company to be a party to a joint venture shareholders’ agreement (except perhaps in some joint ventures between a number of parties each of which has a minority shareholding). Russell v Northern Bank Development Corporation established that a company cannot validly fetter its statutory powers (eg to issue further shares) by contract. Restrictions which are purported to be placed on the joint venture company in a shareholders' agreement or other contractual mechanism will not be enforceable against the company (although they may remain enforceable against other parties if the offending provisions can be severed from the rest). If the parties wish to give the company the benefit of certain provisions of the shareholders' agreement (such as restrictive covenants binding