• Skip to main content
  • Skip to secondary menu
  • Skip to primary sidebar
  • Skip to footer
  • Bedfordshire
  • Milton Keynes
  • Northamptonshire
  • Awards
  • Knowledge Hub
  • Contact Us
  • About Us
    • Sustainability
    • The Podcast
    • ATB TV
All Things Business

All Things Business

First For Local UK Business News

  • Education
  • Professional Services
    • Legal
    • Finance
    • Recruitment & HR
    • Creative Marketing
  • Property
  • Environment
    • Wellbeing
  • Industry
    • Industry
    • Manufacturing
    • Motors
    • Logistics
    • Technology
  • Events
    • Events
    • Food & Drink
    • Sport
  • News

The importance of getting your contract terms right

Legal | August 1, 2022

wilson browne

It is always important to make sure your contract terms work for you and provide the necessary protections and rights of recovery. 

The recent case of Quantum Advisory Ltd v Quantum Actuarial LLP [2022] EWHC 1423 (Ch) highlights the importance of the terminology used and definitions applied. 

In that case the interpretation of the defined term ‘Services’ was reflected upon. Services was defined in the agreement as the ‘provision of pensions consulting, actuarial, administrative and investment services, including by, way of example…’  The court was asked to consider whether the defined term included tendering for new or repeat business. 

During negotiations of the contract, it was agreed between the parties that the defendant would service the claimant’s clients, with the defendant receiving a fee income from those clients for provision of their services. They agreed that the term would last for 99 years to cover new clients. The defined term gave a non-exhaustive list as examples, but this list did not expressly cover the tendering for new or repeat business. Both the long-term nature of the agreement and the importance of efficiency to the claimant’s business were considered by the court. 

However, those factors were not enough to ignore the ordinary meaning of the terms expressly written in the agreement. ‘Administrative services’ and ‘other administrative support as the claimant’s business may reasonably require from time to time’ were included in the non-exhaustive list but the judge ruled that they did not include the specific task of tendering. 

Although the purpose of the agreement was known – that efficiency required tendering – the take away from this case is that the actual language used in the contract is more important.

Investing in having the right foundations in place can pay dividends in the long run. The starting point of any dispute is what terms the parties have actually signed up to. Whilst there is always room for aggrieved parties to seek to challenge terms on unfair or competitive grounds, the aggrieved party will then be put to the cost and associated risks of a particular challenge.

It is crucial that you ensure your contract terms reflect exactly what you intend the contract to do. Errors in drafting could lead to additional costs being incurred later down the line. 

For more information on this topic, contact Wilson Browne Solicitors on 0800 088 6004 or visit www.wilsonbrowne.co.uk

Northamptonshire

Related stories

  • Howes Percival Milton Keynes, Northamptonshire
    August 3, 2022

    Howes Percival ranked in top 15 planning law firms in the UK for second year running

    Howes Percival has been ranked in the top 15 planning law firms in the UK for the second year running, with the…
  • Grace Homes Northamptonshire
    August 2, 2022

    Local developer exceeds biodiversity requirements ahead of legislation

    Biodiversity, or more specifically, increasing biodiversity, is a significant focus of the UK government, and one that housebuilders have a growing responsibility…
  • Bella Marketing Solutions Leila and Joseph Northamptonshire
    August 1, 2022

    Marketing company announces first employee

    Bella Marketing Solutions has taken on its first employee, two years after setting up the business mid-pandemic.  The Northamptonshire marketing agency launched…

Primary Sidebar

Stay up to date on All Things Business

Get the latest business round ups, stories and ATB podcasts delivered straight to your inbox.

All Things Business Podcast

Online Edition

Northamptonshire edition, click here
Milton Keynes edition, click here
Bedfordshire edition, click here

Most Read

  • We Mind and Kelly Matters Gearing up for notorious cycle challenge
  • Reed Recipe for recruitment in a changing world
  • dugouts at Sixfield The dugouts at Sixfields have a brand new look this season…
  • Amplitude What day is it? Our four-day week trial continues
  • Howes Percival Howes Percival ranked in top 15 planning law firms in the UK for second year running

Footer

REGIONS

Northamptonshire
Milton Keynes
Bedfordshire
 

COMPANY

About Us
Contact
Awards
Podcast
Knowledge Hub
Sustainability
Request A Copy

Northamptonshire Office

1 Queensbridge, Northampton
NN4 7BF
Tel: 01604 267677

Milton Keynes and Bedfordshire Office

The Pinnacle, 170 Midsummer Boulevard, Milton Keynes,
MK9 1BP
Tel: 01908 030688

London Office

25 Bedford Square
London
WC1B 3HH
Tel: 0208 1760176

Follow us on

  • Facebook
  • Instagram
  • LinkedIn
  • Twitter

All Things Business is a publication produced by All Things Management Ltd. Registered in England No. 9590677


Privacy Policy