T wo Co urt o f Appe a l c a se s Pe e ka y I nte rma rk v - PowerPoint PPT Presentation

 T wo Co urt o f Appe a l c a se s  Pe e ka y I nte rma rk v Austra lia & Ne w Ze a la nd Ba nking Gro up in 2006  Spring we ll Na vig a tio n v JP Mo rg a n Cha se Ba nk in 2010

 So me c o mme nta to rs ha ve de sc rib e d the c o nc e pt a s unso und  Philo so phy o f “do c ume nta ry funda me nta lism”  “A myth”

 I nve sto r a nd b a nk e nte r into fina nc ia l tra nsa c tio n  Ba nk inse rts pro visio ns tha t minimise its po te ntia l lia b ility  I nve sto r is pre c lude d b y e sto ppe l fro m de nying the pro visio ns

 T hre e c o mmo n c la use s  No re spo nsib ility c la use s e g no a dviso ry duty  No re pre se nta tio n a nd no re lia nc e c la use s  E ntire a g re e me nt c la use s

 F re e do m o f c o ntra c t  Ce rta inty a nd fina lity  No t ta king a dva nta g e o f wro ng

 L a c k o f c a pa c ity to e nte r into tra nsa c tio ns  But c la use in fra me wo rk a g re e me nt g a ve rise to c o ntra c tua l e sto ppe l

 Wo rding o f the c la use s limits the ir o pe ra tio n a s to › Sc o pe , › T ime , a nd › Purpo se

 De c isio n o f Andre w Smith J  Wo rding limite d to da te o f a c q uisitio n whe re a s a lle g a tio n o f ne g lig e nc e la te r  Wo rding limite d to spe c ific purpo se

 E ntire Ag re e me nt c la use did no t impa c t o n c la ims fo r misre pre se nta tio n  No re lia nc e c la use o nly re la te d to inve stme nt a dvic e , no t o the r re pre se nta tio ns

 Pub lic po lic y a nd sta tute  Will no t b a r a fra ud c la im  I mpa c t o f UCT A 1977 a nd Misre pre se nta tio n Ac t 1967

 T wo diffic ultie s with UCT A  I f c la use de fine s b a sis o f re la tio nship the n o utside UCT A  I f c la use re a so na b le the n sa tisfie s UCT A

 F ine line b e twe e n b a sis c la use s a nd e xc lusio n c la use s  Do e s c la use re write histo ry o r pa rt c o mpa ny with re a lity?  Ra iffe se n v RBS  T ho rnb ridg e v Ba rc la ys Ba nk

 I mplic a tio ns fo r o the r c o ntra c tua l c o nte xts a nd wide ra ng e o f c la use s

 Re stric tive c o ve na nt in e mplo yme nt c o ntra c t  Arg ua b le tha t pub lic po lic y re stric te d pa rtie s’ fre e do m o f c o ntra c t  T he re fo re no summa ry judg me nt

 De c la ra tio n tha t mo ne y b o rro we d fo r b usine ss o f b o rro we r suc h tha t lo a n po te ntia lly unre g ula te d  E sto ppe l a rg ume nt b a se d o n de c la ra tio n fa ile d b e c a use c o uld no t c o ntra c t o ut o f pro te c tio ns o f the Co nsume r Cre dit Ac t

 Do c trine he re to sta y  L imits ye t to b e fully de fine d  Mo re c a se s like ly a s limits te ste d