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Reasonably onerous

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24 May 2007
Issue: 7274 / Categories: Features , Procedure & practice
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Helen Hart and Nicola Rüütel examine how the phrase “reasonable endeavours” has been interpreted

Reasonable endeavours: one of contract lawyers’ favourite phrases. It will often be used where the parties cannot or do not want to agree a specific obligation and to finalise and sign the contract as quickly as possible. Yet it should not be used lightly. Where any expression is used in a contract it must be read and interpreted in the context of the obligations and circumstances in question, but sometimes the expression will be given a specific meaning by the courts.

There have been various cases considering the use of the phrases “reasonable endeavours” and “best endeavours” culminating in Rhodia International Holdings Ltd v Huntsman International LLC [2007] EWHC 292 (Comm), [2007] All ER (D) 264 (Feb) and Yewbelle Ltd v London Green Developments Ltd & Knightsbridge Green Ltd [2006] EWHC 3166 (Ch), [2006] All ER (D) 122 (Dec).

BEST v REASONABLE

An obligation to use best endeavours generally requires the person giving the undertaking to take those steps which a prudent and

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