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PRACTICE NOTES
This Practice Note concerns London Court of International Arbitration (LCIA) arbitration proceedings pursuant to the LCIA Arbitration Rules 2020 (the LCIA rules) effective 1 October 2020. For practical guidance on arbitration pursuant to the LCIA Arbitration Rules 2014 and 1998, the previous versions, see the relevant Practice Notes here: LCIA arbitration—overview. As a general matter, when a dispute arises, it is essential for parties and their advisors to review the dispute resolution clause in the relevant contract. Assuming that the clause provides for arbitration, they should check for: • any limitation period (either contractual or statutory) within which the arbitration must be started—see Practice Notes: Limitation periods in arbitration (England & Wales) and Foreign Limitation Periods Act 1984 • any pre-arbitration processes (in particular any form of alternative dispute resolution (ADR)) that must be followed prior to commencing arbitration—see Practice Note: AA 1996—starting an arbitration • what institutional rules or other procedures will govern the arbitration Parties should be aware that the method of starting an arbitration differs between institutional and ad hoc procedures. It
PRACTICE NOTES
An exclusivity agreement (or lockout agreement) may be used where the buyer wants to prevent the seller from negotiating for the sale of the property with any other party for a fixed period. Its objective is to offer the buyer time to progress the transaction without running the risk of being gazumped by a rival buyer. It does not guarantee that the sale contract will be entered into. At the end of the exclusivity period, either party can walk away and the seller will be free to sell the property to a third party. Residential developers use exclusivity agreements to give buyers a fixed exclusive period in which to exchange contracts. In return, the buyer pays a non-refundable deposit that can be forfeited if the deadline is not met. In commercial transactions, buyers may ask for exclusivity where: • there is a lot of interest in a property, to allow themselves a clear run at attempting to exchange contracts, or • they need to ascertain the viability of a proposed development or arrange finance Lockout
PRACTICE NOTES
This Practice Note considers the duty of care owed by occupiers to people who enter premises without permission, primarily under the Occupiers’ Liability Act 1984 (OLA 1984). It considers the definition of an ‘unauthorised visitor’ and explains when a duty may arise, the scope of that duty and the circumstances in which an occupier may avoid liability for injury caused by dangers due to, or relating to, the state of the premises. Background The Occupiers’ Liability Act 1957 (OLA 1957) was created to provide for a common duty of care owed by occupiers of premises. The duty was ‘common’ in that it was owed to various categories of lawful, or authorised, visitors, such as invitees, licensees and those whose right to be on the premises arose from a contract. Under OLA 1957, no duty was owed to unauthorised visitors or trespassers. The passing of OLA 1984 introduced a new duty, owed by occupiers to unauthorised visitors. It should be noted by practitioners that this duty is significantly more limited
PRECEDENTS
A. Additional documents for all main applicants Evidence of your employment for the last 12 months. This could include:—payslips—bank statementsPayslips should be either:—printed on company-headed paper showing the employer’s name, or—printouts of online payslips Your bank statements should show a full breakdown of your pay, including salary payments and any commission. Personal bank or building society statements should be either:—statements on bank stationery—ad hoc statements printed on the bank's letterhead (excluding mini-statements from Automatic Teller Machines (ATMs)), or—printouts of electronic statementsAll statements should include the following details:—your name—account number—date of the statement—the financial institution’s name, contact details and a branch code, and—any transactions over the periodThe last document should be dated no more than 31 days before the application. Some of this information will also be provided in a letter from your employer (see below).The format of documentation may vary depending on the country where you have your employment contract. There is some flexibility allowed in the format of payslips and evidence of documents from financial institutions—if
CHECKLISTS
What is a positive covenant? A covenant is a form of contract. Examples of positive covenants which typically appear in transfers of land include obligations to: • repair or maintain (eg accessways), or contribute to the costs of repair and maintenance incurred by someone else • erect buildings or boundary fences (eg in the case of a transfer of part) • pay further money (ie overage) if, for example, planning permission is obtained or on a sale after the land has been developed What is the issue with positive covenants? It is a well-established common law principle that the burden of a positive freehold covenant does not run with the land. Consequently, where a party to a transfer of freehold land (Party B) enters into a positive covenant with the other party to the transfer (Party A), the burden of that covenant will not bind Party B’s successors in title, notwithstanding Law of Property Act 1925, s 79. The burden of the covenant is directly enforceable only against Party B in its capacity as original
Q&As
This Q&A considers whether you can terminate your retainer with an existing client, on the basis that they are Russian. It takes account of general common law, professional obligations under the SRA Standards and Regulations and relevant crime prevention regulatory regimes. However, it is not intended to provide comprehensive analysis of case law in relation to termination of contracts more generally—see Q&A: What are the legal issues for contracts impacted by war and sanctions following the Russian invasion of Ukraine?, which considers issues such as force majeure, frustration and illegality. For guidance on entering into a new retainer with a Russian client, see Q&A: Can I take on a non-sanctioned client from a country subject to financial sanctions, eg Russia—law firms? As a matter of common law, a solicitor-client retainer is an entire contract and, in the absence of agreement to the contrary, you cannot terminate the retainer unless you have reasonable ground for refusing to act further for the client. You will therefore need to consider: • whether
Q&As
This Q&A is intended for law firms. It deals with when you can terminate your retainer. Incorrectly terminating a retainer can have serious consequences. You will not be entitled to be paid for any work done on the client’s matter and you could be subject to disciplinary sanctions by the SRA. See also: Can I close down my relationship with Russian clients—law firms? Incorrectly terminating a retainer can have serious consequences, eg you: • are not entitled to be paid for any of the work done on the client's matter • could be subject to disciplinary sanctions by the Solicitors Regulation Authority (SRA) Requirements about terminating the retainer can largely be found in the Solicitors Act 1974 and case law. There is a unified message: to terminate a retainer you must have good cause and you must give reasonable notice to the client. No entitlement to be paid A retainer is normally an entire contract under which you agree to do certain work for the client. If you wrongfully terminate
PRACTICE NOTES
This Practice Note explains what a pension attachment order made in family proceedings (previously referred to as an earmarking order) is and sets out which pension benefit rights can be attached and which cannot. It also details the key features of a pension attachment order, the risks of such orders and steps that may be taken to reduce risk, variation issues and tax consequences. Key features of pension attachment A pension attachment order requires the person responsible for a pension arrangement (the PRPA) to pay a percentage of the: • pension income, and/or • pension commencement lump sum, and/or • lump sum payable in respect of the member-party’s death available to a person with pension benefit rights in the pension arrangement (the member-party) to the person without pension benefit rights (the non-member party). A pension arrangement means an occupational pension scheme, a personal pension scheme, a retirement annuity contract and annuities purchased pursuant to an occupational or personal pension scheme, or to discharge liability in respect of a pension credit, see also: Types
Q&As
From 6 April 2017, the Finance Act 2017 introduced changes to the Income Tax (Earnings and Pensions) Act 2003 (ITEPA 2003) which, subject to some transitional arrangements, provides that benefits provided under ‘optional remuneration arrangements’ (OpRAs) no longer benefit from the income tax and National Insurance contributions (NICs) advantages previously available under salary sacrifice arrangements. The term ‘salary sacrifice’ is not mentioned at all in the new legislation, which instead refers throughout to ‘optional remuneration’. This Q&A examines the differences between the two terms. This Q&A does not discuss the tax treatment associated with OpRAs. What is a salary sacrifice arrangement? A salary sacrifice happens when an employee gives up the right to part of the cash remuneration due under their contract of employment. Usually, the sacrifice is made in return for the employer’s agreement to provide the employee with some form of non-cash benefit. The sacrifice is achieved by varying the employee’s terms and conditions of employment relating to remuneration. To be a valid salary
PRECEDENTS
1 Introduction 1.1 This policy sets out the rights and responsibilities of employees who wish to take parental leave. Parental leave is available to both parents, whether of natural children or of adopted children. 1.2 This policy applies to all employees. It does not apply to agency workers, consultants or self-employed contractors. 1.3 This policy is for guidance only and does not form part of your contract of employment and we may amend it at any time. It outlines the rights employees are given by law but is intended to be a summary only and not a complete statement of your rights. Please contact [the HR department] if you have any queries about your entitlement. 2 Entitlement to parental leave 2.1 You will be eligible to take parental leave if: 2.1.1 you have or expect to have parental responsibility for a child under the age of 18; and 2.1.2 you are taking the leave to care for that child. 2.2 You will be considered to have parental responsibility for a child for these purposes if you are their biological mother or father (this is the case whether or not they live with you) and
PRACTICE NOTES
What are property derivatives? Property derivatives are derivative contracts which use the price of property as a reference rate to determine the amount the parties to the contract are required to pay one another. They can be found in over-the-counter (OTC) form or exchange traded form. The market for property derivatives is a niche market for specialist investors and their use in the UK has remained limited. Why are property derivatives used? As with all kinds of financial derivatives, there is no single reason for using property derivatives. The contracts allow market participants to obtain exposure to the movements of property values and can be entered into for speculative purposes, hedging exposures on existing property investments or transferring risk on property portfolios. Derivative contracts are a cost effective method of taking a position on property prices without the need for expensive direct investment in that asset class. They are not generally subject to taxes such as stamp duty which would otherwise be payable on direct property investments. As with other forms of derivatives, a property derivative
PRACTICE NOTES
ARCHIVED: This Practice Note has been archived and is for historical purposes only. CPR provisions The provisions relating to general rules about costs will continue to be found in CPR 44. The part has been reordered to make it more intuitive to work through. Fundamental changes in relation to the rules in Part 44 are: • renumbering—the CPR Committee has taken the opportunity to renumber the rules so they run consecutively without the need for additional letters to differentiate rules such as CPR 44.3A • new provisions—there are a number of either completely new provisions or provisions which have been brought in from other parts: ◦ court's discretion as to costs at CPR 44.2. Rules 44.3A and 44.3B are now obsolete. CPR 44.3C has been moved to CPR 46.7 ◦ basis of assessment at CPR 44.3 contains new provisions in relation to proportionality ◦ amount of costs payable pursuant to a contract is now at CPR 44.5. This was previously a provision in Part 48 ◦ qualified one way costs shifting