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Q&As
Once registered, a co-operative or community benefit society (a registered society) is a body corporate with limited liability and its own legal personality. It is owned by its members who hold shares in the society. It may sue and be sued in its registered name, and it has power to hold land and invest funds (subject to the terms of its registered rules). A registered society is similar in a number of ways to a company limited by shares, but it is not registered via Companies House and the Companies Act 2006 (CA 2006) does not apply. The Financial Conduct Authority (FCA) is the registering authority for societies registered under the Co-operative and Community Benefit Societies Act 2014 (CCBSA 2014). The FCA has powers to investigate and inspect societies, as well as to suspend or
Q&As
In the scenario you describe, there are two ways in which the individual may establish employment rights against the end client (client company): • in the absence of any express agreement between them, by proving to the court that there is an implied contract between the client company and the individual • by satisfying the eligibility requirements of a specific piece of legislation, eg the Equality Act 2010 (EqA 2010) Whether the individual has these rights or not will depend on how his relationship with the client company is treated by the employment tribunal. The tax treatment will be factor but is not determinative. Implied contract In the absence of any express written contract between the end client and the individual, following the Court of Appeal decision in James v
PRECEDENTS
1 The Employer may suspend the performance of any or all of the Services by giving
Q&As
Calculation of a statutory redundancy payment A statutory redundancy payment is calculated by (sections 162 and 227(1)(c) of the Employment Rights Act 1996 (ERA 1996)): • determining the employee's number of complete years of continuous employment ending with the 'relevant date', and • allowing the appropriate number of weeks for each year. This is done by looking at (a) the whole period of employment if overall service is 20 years or less, or (b) the 20 years terminating with the 'relevant date' if the overall service is more than that. Within that period, working backwards from the 'relevant date': ◦ high band: count one and a half weeks for every complete year of service throughout which the employee was aged 41 or over ◦ middle band: count one week for every complete year of service (not including years already accounted for as high band years, if there were any) throughout which
Q&As
This Q&A assumes that the query relates to a general commercial, business-to-business contract. Agreement to terminate There are a variety of ways in which an agreement may come to an end, including by mutual agreement, which can itself be achieved by several different methods. See Practice Notes: • Termination and expiry of contracts—Discharge by agreement • Ending a contract by agreement Best practice suggests that an agreement to discharge a contract should be made in writing, satisfying the requirements for a binding contract. For an example, see Precedent: Deed of termination of contract. Governing law and jurisdiction clauses Governing law and jurisdiction clauses are categorised as boilerplate clauses. They will be particularly relevant in cross-border agreements. See Practice Note: The role of boilerplate. A governing law clause (sometimes referred to as an ‘applicable law’ clause) identifies which substantive laws will govern the interpretation of the agreement and any disputes and claims under it. Generally,
Q&As
An apprentice qualifies for the lower apprentice rate of the national minimum wage (NMW) (currently £3.50 per hour) if he is a worker who is: • either employed under: ◦ a contract of apprenticeship ◦ an apprenticeship agreement (within the meaning of section 32 of Apprenticeships, Skills, Children and Learning Act 2009 (ASCLA 2009) (now repealed, subject to transitional and saving provisions)), or ◦ an approved English apprenticeship agreement (within the meaning of ASCLA 2009, s A1(3)) • or treated as employed under a contract of apprenticeship, ie engaged in one of the following government arrangements: ◦ in England, Apprenticeships, Advanced Apprenticeships, Intermediate Level Apprenticeships, Advanced Level Apprenticeships or Trailblazer Apprenticeships ◦ in Scotland, Modern Apprenticeships ◦ in Northern Ireland, Apprenticeships NI ◦ in
Q&As
Sale of Goods Act 1979 (SGA 1979)—implied terms SGA 1979 contains detailed provisions about contracts for the sale of goods, including the formalities of the contract, transfer of title, performance and remedies. See: Sale and supply of goods—overview and Practice Note: Contracts for the sale and supply of goods—business to business. The implied terms referred to in the question are contained in SGA 1979, Pt II and include the following: • time—unless a different intention appears from the term of the contract, stipulations as to the time of payment are not of the essence in a contract for the sale of goods: SGA 1979, s 10
NEWS
The Cabinet Office has published updates to its guidance on contract payment information, amending paragraphs six and 17. Paragraph six confirms that section 70 of the Procurement Act 2023 applies to payments made under call‑off contracts awarded in accordance with a framework or by reference to a dynamic market, where the contracts are public contracts and the procurement commenced on or after 1 April 2026. Paragraph 17 clarifies that contracting authorities do not need to publish payment information for payments made under public contracts procured under the previous procurement regime or where the procurement procedure commenced prior to 1 April 2026, even if the contract is awarded after that date.
PRACTICE NOTES
This Practice Note provides an overview of contract expiry and of the different causes of termination and ways to discharge a contract, including their practical and legal consequences. It considers expiry, contractual rights to terminate (including common termination events), termination for breach of contract (including repudiatory breach), rescission, void contracts, discharge by agreement, frustration, force majeure, illegality, insolvency, discharge by other subsequent events (such as merger, alteration or death), and issues to consider in the context of terminating business-to-consumer contracts. A contractual promise may be discharged either in accordance with the agreement (for example, by performing the agreement or on the occurrence of a stipulated event such as the expiry of a fixed term) or against the agreement (for example, termination for breach of contract or rescission for misrepresentation). This Practice Note provides a brief overview of the different ways in which a contract may be brought to an end. The specific Practice Notes referenced in each section should be consulted for more detail. Causes for termination There are several ways in which a contract may be
Q&As
In a contract incorporating the Standard Commercial Property Conditions (Second Edition), a party may give notice to complete at any time on or after the completion date, if they are ready willing and able to complete (clause 8.8.1). At clause 1.1.3 provision is made concerning cases where the other party is in default or where the seller has a mortgage to be discharged. Where a seller serves notice to complete, there must be no defect in title and nothing of substance must remain to be done, (see Practice Note:
NEWS
The Scottish Building Contract Committee (SBCC) has published a progress update on the development of its 2024 contract suite, which adapt the JCT 2024 contracts to ensure compliance with Scottish law and practice. The SBCC 2024 Minor Works suite is in the final stages of publication, with digital document uploads and testing currently underway, and is targeted for release in winter 2025. The suite will include three main contracts, two associated sub-contracts, administration forms and additional guidance documents. Following the release of the Minor Works suite, the SBCC will publish the 2024 Design and Build suite and the 2024 Standard Building Contract suite. The SBCC also intends to host online launch events after publication of the Minor Works suite, with further details to be announced in due course.
Q&As
A judgment creditor can seek to enforce their judgment debt by applying for an attachment of earnings order (AEO) which, in effect, directs the judgment debtor’s employer to pay a certain portion of the judgment debtor’s salary or wages to a collecting officer for payment on to the judgment creditor. AEOs are governed by CPR 89 and the Attachment of Earnings Act 1971 (AtEA 1971). There are prescribed circumstances in which you can apply for an AEO and these are largely