The A-Z Guide to Commercial Contracts & Boilerplate Clauses - In 2 Days

Introduction

Whether you are new to commercial law or in need of a refresher, this seminar is for you.

It will focus on the key aspects of commercial law and is delivered over a 2 day intensive training programme.

You will get the chance to 'dig deep' into commercial law and practice and there will be practical exercises to consolidate your knowledge.

What You Will Learn

DAY 1

• Systems of law
• Civil law v common law approaches
• Precedent (and some Latin)
• Clarity and ambiguity: Arnold v Britton
• Ambiguity: Investors Compensation Scheme v West Bromwich
• Classical contract interpretation (6 canons)
• Modern contract interpretation (Principles)
• The effect of Brexit on contract drafting and interpretation
• Admissible background
• Private dictionary principles

How do you form a contract?

• Ingredients to form a contract
• Classical
• Offer
• Acceptance
• Consideration
• Battle of the forms
• Other elements in formation
• Sui generis formation
• Distinctions between negotiations and contracts:
• Have you accidentally formed a contract while negotiating?
• The 6 steps of Pagnan Freres
• ‘Subject to contract’
• ‘Without prejudice’

Commercial contract format and structure

• Splitting form from content
• Tone and format
• Deed or under hand?
• Drafting techniques:
• Mapping: free drafting (when you have no precedent)
• Mapping: tied drafting (when you have a starting point)
• Structures of typical commercial contracts
• PRACTICAL EXERCISE: Examining a sample agreement (Checking errors of form and clarity in contracts)
• Drafting for certainty

Terms: implied, express and standard

• Implied terms
• 3 types
• The 2015 revision
• Plus 1?
• Express terms
• Time is of the essence
• Best endeavours clauses
• Reasonable endeavours clauses
• Nuances and efforts
• The obligation spectrum
• Meaning of standard terminology
• Reasonable
• Substantial
• Material

Drafting techniques

• Practical tips
• PRACTICAL EXERCISE: Modern Drafting
• Shall, will, endeavours
• WCI
• Undertakings
• Representations
• Warranties
• Indemnities

Exclusion and limitation clauses

• Myths about liability clauses
• Internationally accepted practice
• Economic rationale for this area of law
• The liability protection spectrum
• Jurisdictional differences
• Factors affecting liability...or not
• Negotiating liability clauses: risks and responsibilities
• The ACE principle
• Acceptance of risk
• Capping of risk
• Exclusion of risk
• Arguments used by each side when negotiating
• Drafting a liability clause: tips, tricks and techniques
• The change in law and practice since 2016
• Indirect and consequential loss: the changing position since 2017
• UCTA

DAY 2

• Transferring rights
• Assignment
• Novation
• Other transfers
• An exercise: in the real world
• Third party rights
• Privity
• Some history
• Practical examples
• The new rules
• Drafting issues and traps

Welded boilerplate

• Part 1: Interpretation
• Importance
• Start v finish
• Headings and Titles
• Usual interpretation clauses
• Part 2: Notice and Communications
• Purpose of a clause
• Problematic clauses?
• Relevant case law
• Part 3: Waiver
• Purpose
• Effect
• Clause
• How does it work?
• Variation
• The remedies addendum
• Part 4: Invalidity and severance
• Purpose
• Invalid clauses - and consequences
• Blue pencil test
• Repair
• Clause
• Bolt-ons
• Part 5: Joint and several liability
• Joint/several/joint and several - differences
• Purpose
• Clause
• Bolt-ons
• Part 6: Force majeure
• Purpose
• Some history
• A partisan view of risk
• What is ‘force majeure’?
• Effect
• Procedure
• Clause
• The court

Payments and interest

• Payment clauses
• Purpose
• Goods default
• Clauses
• Interest clauses
• A clause: charging interest for late payment
• Penalties and rates of interest
• Force majeure and payments
• The importance of waiving rights - or not

Confidentiality clauses

• Doing without a confidentiality agreement
• A confidentiality clause: the practice
• A definition: What is confidential?
• Clause outline
• Sample clauses

Term and termination; Entire agreement clauses; Governing law, jurisdiction and dispute resolution clauses

• Part 1: Term and termination
• Purpose
• Term
• Termination
• Reasons for termination
• Consequences of termination
• Survival
• Part 2: Entire agreement clauses
• 2 purposes of a clause
• The law
• Element 1: don’t use anything not in the agreement!
• Element 2: you can’t sue me!
• Fraud
• Consumer contracts
• Drafting
• Part 3: Governing law, jurisdiction and dispute resolution clauses
• Governing law
• Jurisdiction
• Dispute resolution clauses