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04 August 2011 / Andrew P Willetts
Issue: 7477 / Categories: Features , Damages , Commercial
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Under contract?

Andrew P Willetts takes a contractual drive from the Jowett Javelin to Formula 1

In contract law the total failure of consideration by one contracting party to another has always been considered prima facie evidence to entitle the aggrieved party the right to rescind. The rescinding party can then recover all monies paid under the agreement notwithstanding that in the interim substantial benefit had been received by them. A total failure of consideration can only usually occur when there is a breach of a condition going to the heart of the bargain. This can include a seller not actually having title for the goods he is purporting to sell or as in the case of Giedo Van Der Garde BV and another v Force India Formula One team Ltd [2010] EWHC 2373 (QB), [2010] All ER (D) 122 (Sep), the failure of a Formula 1 racing team to provide a driver the contracted mileage for showcasing his driving skills. Although in Giedo the High Court rejected a claim for restitution for fact specific reasons,

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NEWS
Contract damages are usually assessed at the date of breach—but not always. Writing in NLJ this week, Ian Gascoigne, knowledge lawyer at LexisNexis, examines the growing body of cases where courts have allowed later events to reshape compensation
The Supreme Court has restored ‘doctrinal coherence’ to unfair prejudice litigation, writes Natalie Quinlivan, partner at Fieldfisher LLP, in this week' NLJ
The High Court’s refusal to recognise a prolific sperm donor as a child’s legal parent has highlighted the risks of informal conception arrangements, according to Liam Hurren, associate at Kingsley Napley, in NLJ this week
The Court of Appeal’s decision in Mazur may have settled questions around litigation supervision, but the profession should not simply ‘move on’, argues Jennifer Coupland, CEO of CILEX, in this week's NLJ
A simple phrase like ‘subject to references’ may not protect employers as much as they think. Writing in NLJ this week, Ian Smith, barrister and emeritus professor of employment law at UEA, analyses recent employment cases showing how conditional job offers can still create binding contracts
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