header-logo header-logo

06 October 2011 / Andrew Francis
Issue: 7484 / Categories: Features , Property
printer mail-detail

Just & reasonable

Andrew Francis examines the reasonableness of standard conditions in property contracts

Cleaver v Schyde Investments Ltd [2011] EWCA Civ 929, [2011] All ER (D) 285 (Jul) is authority from the Court of Appeal for the proposition that, on its facts, standard condition 7.1.3 of the Standard Conditions of Sale (4th Edn) (SCS) was not fair and reasonable under s 3 of the Misrepresentation Act 1967 (MA 1967) and s 11 of the Unfair Contract Terms Act 1977 (UCTA 1977). The purchaser, who was the victim of an innocent misrepresentation, was allowed to rescind the contract for the purchase of the land it had contracted to buy.

Important decision

The decision is important because:

  • The SCS are much used and often varied, but are infrequently the subject of judicial consideration. A decision of the court on the SCS is worthy of examination.
  • It deals with the factual question of whether the reasonableness test has been established under UCTA 1977, s 11.
  • It reminds us of the difficulty placed on appellants in cases on
If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Signature Litigation—Catherine Naylor

Signature Litigation—Catherine Naylor

International fraud and asset recovery offering boosted by partner hire

Stevens & Bolton—Alexa Payet

Stevens & Bolton—Alexa Payet

Private wealth disputes team adds contentious probate specialist

Morgan Lewis—Paul Feldberg

Morgan Lewis—Paul Feldberg

Firm strengthens investigations and sanctions capabilities with London partner hire

NEWS
Cheshire West, which established an ‘acid test’ for deprivation of liberty safeguards, has been overturned by the Supreme Court
The Chancery Division and other segments of the High Court are to be replaced by a new Business and Property Division (BPD), in a major civil justice shakeup
Law firms that hold client money will need to file annual accountants’ reports and make a declaration, the Solicitors Regulation Authority (SRA) confirmed this week
Two district judges and a tribunal judge have been sanctioned for delays in delivering judgments and orders
Private equity (PE) investment into UK law firms halved to £250m last year, but deal volume rose, according to research by Acquira Professional Services’ Momentum private equity market tracker
back-to-top-scroll