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An interest-ing question: when is a default interest rate a penalty?

The Court of Appeal has affirmed a three-step test for penalty clauses: (1) is it a secondary obligation; (2) does the clause protect a legitimate interest; and (3) is it extortionate by reference to the legitimate interest?...more

Unsanctioned Payments: Overcoming Force Majeure Through Non-Contractual Performance

In what some may regard as a surprising outcome, the English Court of Appeal has held that a force majeure clause was not triggered because the affected party could have accepted performance that was not in accordance with...more

Keeping the Faith: English Court of Appeal Considers Contractual Good Faith Provision in Shareholder Agreement

The English law concerning contractual duties of good faith (express and implied) has received considerable judicial attention in recent years. It will therefore be of interest to those who use English law contracts,...more

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