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12 February 2009 / Sara Partington
Issue: 7356 / Categories: Features
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A costly delay

Contractual clauses won’t always offer protection if you delay in reacting. Sara Partington reports

The Court of Appeal last month confirmed that, if Party A delays or fails to react to Party’s B material breach, it can be held to have affirmed the contract despite the agreement containing a clause to the eff ect that delay, neglect or forbearance in enforcing a provision will not be deemed a waiver nor in any way prejudice any right under the agreement. Th at then is a long way of saying that parties to commercial contracts cannot blithely rely on such clauses to excuse them from delay or neglect in acting upon a counterparty’s breach. Protection cannot necessarily be assumed merely from a clause in a contract: a court may nonetheless find that a party has by conduct elected to affi rm the contract and thereby abandoned contractual rights to terminate for material breach.
Appellant companies (T) in Tele2 International Card Co SA (and others) v Post Offi ce Ltd [2009] EWCA Civ 9 entered into an agreement with

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MOVERS & SHAKERS

Bell Yard Kysen—Liz Giles

Bell Yard Kysen—Liz Giles

Bell Yard Kysen appoints senior legal PR and ex-government communications adviser, Liz Giles

Clarke Willmott—Lee Edwards

Clarke Willmott—Lee Edwards

Clarke Willmott boosts Southampton commercial property team with addition of partner Lee Edwards

Lime Solicitors—four promotions

Lime Solicitors—four promotions

Lime Solicitors announces four promotions

NEWS
Witness evidence can be compromised by AI before a solicitor sees the draft, leaving safeguards focused on authorship incomplete
Possession claims are entering a new digital era, with procedural traps awaiting practitioners who assume familiar rules still govern every step
A polished legal defence may owe more to artificial intelligence than legal merit—and creditors risk paying the price in delay and expense
An indemnity costs battle with a £20m gap could reopen an important question: what weight should an approved budget carry?
The Environment Agency can prosecute offences beyond environmental legislation where proceedings support its statutory functions, the Divisional Court has confirmed
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