Reigate v Union Manufacturing Co (Ramsbottom) Ltd: CA 1918

Scrutton LJ said that ‘[a] term can only be implied if it is necessary in the business sense to give efficacy to the contract’. He added that a term would only be implied if ‘it is such a term that it can confidently be said that if at the time the contract was being negotiated’ the parties had been asked what would happen in a certain event, they would both have replied ”Of course, so and so will happen; we did not trouble to say that; it is too clear”.

Citations:

[1918] 1 KB 592

Jurisdiction:

England and Wales

Cited by:

CitedMarks and Spencer Plc v BNP Paribas Securities Services Trust Company (Jersey) Ltd and Another SC 2-Dec-2015
The Court considered whether, on exercising a break clause in a lease, the tenant was entitled to recover rent paid in advance.
Held: The appeal failed. The Court of Appeal had imposed what was established law. The test for whether a clause . .
Lists of cited by and citing cases may be incomplete.

Contract

Updated: 16 May 2022; Ref: scu.616750