News & Analysis as of

Good Faith Breach of Contract

King & Spalding

S.D.N.Y. Reiterates that the Implied Covenant of Good Faith and Fair Dealing May Not Create Obligations Inconsistent with Parties’...

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On March 25, 2025, the U.S. District Court for the Southern District of New York denied a motion to dismiss a lender’s claims for declaratory judgment and other relief under an intercreditor agreement (“ICA”), rejecting the...more

Stikeman Elliott LLP

Asbestos: To Remove or Not to Remove – Is That the Question?

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The Alberta Court of King’s Bench provides clarification on both the interpretation and application of the Occupational Health and Safety Act regarding asbestos as well as the duties of landlords and tenants to carry out...more

Rumberger | Kirk

Legislative Alert: Florida’s HB 1551 and SB 554 Raise Concerns for Insurance Carriers

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It is no secret that insurance rates in the state of Florida have skyrocketed over the past several years. One of the catalysts to the increased rates was Florida’s attorney fee statute, which had the effect of incentivizing...more

Miller Canfield

Michigan Supreme Court Confirms: No Independent Cause of Action for Breach of Implied Covenant of Good Faith

Miller Canfield on

Sometimes an expected result is still newsworthy. On March 27, 2025, in Kircher v Boyne USA, Inc., the Michigan Supreme Court held that there is no independent cause of action for breach of the implied covenant of good faith...more

Stikeman Elliott LLP

The Quebec Court of Appeal Clarifies the Rules of Engagement When Negotiating Renewal Terms for a Commercial Lease – The Freedom...

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In 2177 23rd Avenue Holdings v. Pival International inc. (2025 QCCA 19) dated January 9, 2025, the Quebec Court of Appeal rendered an enlightening decision on the obligation of a landlord to negotiate the terms and conditions...more

BCLP

JCT 2024 Contracts - Good Faith in Practice

BCLP on

Not everyone will be familiar with the 1994 Latham Report that advocated the use of good faith, but the government’s Construction Playbook and the equivalent private sector Trust and Productivity report are more recent...more

Brownstein Hyatt Farber Schreck

City’s Termination for Convenience Found in Breach of Contract

A recent Tenth Circuit ruling in an appeal successfully defended by Brownstein Hyatt Farber Schreck affirmed a lower court judgment arising from a termination for convenience. This decision serves as support to contractors...more

Benesch

Logistics on the Offensive: Using Contractual and Common Law Rights as a Sword

Benesch on

We are now in the era of freedom of contract in the logistics arena. While contracts provide many protections to contracting parties, they can also be used offensively, to affirmatively protect legal rights. ...more

Davis Wright Tremaine LLP

CBCA Addresses How To Avoid Release Language in an Executed Contract Modification

Contractors frequently execute modifications for extra work without considering the impact the boilerplate broad release language in the modification may have on future claims. Government agencies often seek dismissal of a...more

Fox Rothschild LLP

A Recipe for Rule 12(b) Failure: Unsavory Complexity, a Pinch of Confusion, and an Overflowing Cup of Acronyms

Fox Rothschild LLP on

It turns out there is something more difficult than the financing and development of a luxury retirement community, the long life of which spanned from its initial municipal approval in 2002, through the 2008 financial...more

Freiberger Haber LLP

Breach of Contract Claim Sustained Where Plaintiff Offered a Facially Reasonable Reading of The Contract

Freiberger Haber LLP on

The foundation of virtually every business and commercial transaction is a contract. It is difficult to imagine a transaction for the purchase or sale of goods, the merger or acquisition of a business, or the provision of...more

King & Spalding

Saudi Arabia’s New Civil Transactions Regulation

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The Civil Transactions Regulation (the “CTR”) was promulgated on 18 June 2023 and entered into force on 16 December 2023. The CTR was conceived as one of four key reforms announced in February 2021 to enhance the general...more

Stikeman Elliott LLP

Limitations on Good Faith Damages: No Presumption of Loss for Breach of Honest Performance

Stikeman Elliott LLP on

In Bhatnagar v. Cresco Labs Inc., 2023 ONCA 401, the Ontario Court of Appeal elaborated on the Supreme Court’s decision in C.M. Callow Inc. v. Zollinger, 2020 SCC 45 (“Callow”) and clarified that a breach of the contractual...more

Stoel Rives -  Ahead of Schedule

Efforts Expected of a Contractor When Efforts Clauses Are in Dispute

Originally published by the Daily Journal of Commerce on May 18, 2023. You will often see in construction contracts terms directing the contractor to use “best efforts” or “reasonable efforts” or “commercially reasonable...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - March 28 2023

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Southern District Finds That Exclusion In HO3 Form Precludes Coverage Even Though Form Inadvertently Omitted From Copy Of Policy Sent To Insured- Scottsdale Insurance Company issued a homeowner’s policy to 232 Dune Road...more

Cadwalader, Wickersham & Taft LLP

Delaware Supreme Court Enforces Partnership Agreement’s Unambiguous Exculpation Provision Waiving Fiduciary Duties and Presuming...

On December 19, 2022, Chief Justice Seitz issued an opinion for a unanimous Delaware Supreme Court, sitting en banc, reversing and remanding the Delaware Court of Chancery’s decision in Bandera Master Fund LP v. Boardwalk...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - December 28 2022

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Burlington Insurance Company issued primary policies to a contractor in 2013-14 and 2014-15, and Century was the excess insurer for 2013-14. The contractor was sued for property damage resulting from its construction work...more

Latham & Watkins LLP

Complex Commercial Litigation Law Review - Fifth Edition - England & Wales

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The courts of England are some of the most established fora for dealing with complex commercial litigation. The Civil Procedure Rules (CPR) that apply to English civil litigation, which govern every aspect of cases from...more

Goodwin

“Good Faith” in Shareholders’ Agreements: What Does it Mean?

Goodwin on

Shareholder agreements often include an obligation that the shareholders must act with “good faith” in their dealings with one another and with the company. However, what does that actually mean? In this insight, we consider...more

Fox Rothschild LLP

Unintended Consequences of Franchise Rescission Rights

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The right to rescind (or void) a contract is an extraordinary remedy. However, as franchise lawyers know, certain states provide franchisees a right to rescind a franchise agreement in certain situations, particularly where a...more

A&O Shearman

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

A&O Shearman on

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

Fox Rothschild LLP

Minority Shareholders can “Follow the Money” Linked To Alleged Diversions by Majority for Phantom Salaries and Benefits

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The minority shareholders of a podiatry practice felt like they had been kicked around by the alleged financial misadventures of two colleagues who together controlled an 80 percent interest....more

Foley & Lardner LLP

Construction Project Executives Beware: The Massachusetts Prompt Pay Act Means Business

Foley & Lardner LLP on

If you are an executive involved in a Massachusetts construction project, the routine pay applications you exchange in the ordinary course must now receive your utmost attention — as any failure to reject a pay application in...more

Woods Rogers

Virginia’s New Construction Payment Terms (Part 2)

Woods Rogers on

This article is a continuation of Monday’s article, and we will be discussing in detail the new payment terms for all construction contracts in Virginia....more

A&O Shearman

Endeavouring to negotiate in good faith

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A recent High Court decision provides a helpful summary on using endeavours in the context of negotiations and doing so in good faith....more

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