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Chapter

Cover Competition Law of the EU and UK

23. The common law and competition  

This chapter considers the areas in which the operation of the common law impacts upon issues that are closely related to the public regulation of competition. Certain doctrines of common law may be applied to situations in which competition is being restrained, or to competitive conduct. Common law doctrines in antitrust are becoming less important following the growth of modern competition law. The restraint of trade doctrine remains vibrant, and is often relied on in professional disputes. Restraint of trade is a doctrine of contract law under which certain contracts are unenforceable if they unreasonably restrain the activity of a party after the termination of the main contract. A number of rarely used torts may also be relevant to certain competitive situations.

Chapter

Cover Introduction to Business Law

6. The Terms of a Contract  

This chapter discusses the terms of a contract. The terms are the contents of the contract. They also state what the parties’ legal duties and obligations are to each other. Terms may be written, oral, or even implied into a contract. This chapter discusses the difference between a term of a contract and a representation and the difference between express and implied terms. It considers the types of contractual terms, conditions, warranties, and innominate terms, and the distinction between them. The nature of exemption clauses and the methods used by the courts to restrict the use of such clauses and the effects on exemption clauses of the Unfair Contract Terms Act 1977 and Consumer Rights Act 2015 are examined. The chapter concludes with a discussion of restraint of trade clauses commonly found in contracts of employment, contracts for the sale of businesses, and solus agreements

Chapter

Cover Employment Law Concentrate

2. Contracts of employment  

Each Concentrate revision guide is packed with essential information, key cases, revision tips, exam Q&As, and more. Concentrates show you what to expect in a law exam, what examiners are looking for, and how to achieve extra marks. This chapter discusses employment contracts. Covenants potentially in restraint of trade are express written terms which may apply during the contract, but are usually expressed to apply after termination. They are a rare illustration of contractual terms, which must be in writing. The general purpose of these is to prevent a former employee competing against his former employers; for example, by taking commercially confidential information or influencing customers to give their business to the firm he has joined. The Supreme Court has recently ruled on the width of the doctrine of severance of such covenants. Topics covered include the provision of the written statement, a right which employees have enjoyed since 1963, but which was extended to workers in 2020; the sources of terms in employment contracts; duties of the employer; and duties of the employee. These duties or implied terms are divided into terms implied in law (ie inserted into every contract of employment) and terms implied in fact (ie inserted into a particular contract of employment). The latter are divided into terms implied in fact which work against the employers’ interests and terms which work against the employees’ interests. Examples of the former include the duty to pay wages; examples of the latter include the duty to obey reasonable orders.

Chapter

Cover JC Smith's The Law of Contract

22. Illegality and restraint of trade  

This chapter analyses the law on illegality and restraint of trade. The law on illegality is very complicated. Illegal acts vary greatly in range and severity. The Supreme Court has recently held that a ‘range of factors’ need to be considered when deciding whether the claimant’s illegality should defeat a claim, and it is likely that the law will become increasingly flexible in this area. Restraint of trade is concerned with balancing the competing rights of private parties, notably the employer’s right to expect a certain degree of loyalty as regards their business against the employee’s freedom to leave their employment and to undertake new business activities. The key consideration tends to be whether restraint of trade clauses are reasonable.

Chapter

Cover Concentrate Questions and Answers Contract Law

9. Illegality and Restraint of Trade  

The Concentrate Questions and Answers series offers the best preparation for tackling exam questions. Each book includes typical questions, answer plans and suggested answers, author commentary, and other features. This chapter looks at illegality and restraint of trade. Illegality is one of the most confusing areas within the law of contract, particularly as regards the consequences of a finding of illegality. This chapter considers recent developments in this general area of law as well as contracts in restraint of trade. It explores two key debates: the extent to which when faced with illegality the courts should grant relief to ensure justice, and ‘although many contracts will, to some extent, restrain future activity, the circumstances when a contract will be subject to the restraint of trade doctrine’.

Book

Cover Employment Law Concentrate
Each Concentrate revision guide is packed with essential information, key cases, revision tips, exam Q&As, and more. Concentrates show you what to expect in a law exam, what examiners are looking for, and how to achieve extra marks. Employment Law Concentrate helps to consolidate knowledge in this area of law. This seventh edition includes updates on employment law, including further coverage of the employment status, written particulars, restraint of trade, and equal pay. The book includes discussion of recent cases, including Supreme Court ones, and forthcoming amendments to the law are noted where appropriate. The volume also looks at implied terms, discrimination, parental rights, working time, and types of breach of employment contracts and termination of employment contracts. Finally, the text looks at dismissal issues (including both wrongful and unfair dismissal), redundancy, and trade unions. The chapter on trade unions has been transferred to online-only content, available in the online resources for this book.

Chapter

Cover Selwyn's Law of Employment

19. Duties of Ex-employees  

This chapter considers the duties of ex-employees, ie the obligations which apply to an employee who is about to leave his employment (whether voluntarily or otherwise), or who has actually left that employment. The law must strike a delicate balance. On the one hand, an employee has a right to earn his living, and knowledge and skills obtained in his former employment will doubtless enable him to continue to do so; on the other hand, an employer is entitled to limited protection against an employee who may well be seeking to compete. It includes garden leave, trade secrets and confidential information, restraint of trade, and working for competitors.

Chapter

Cover Intellectual Property Law

12. Limits on Exploitation  

L. Bently, B. Sherman, D. Gangjee, and P. Johnson

This chapter is concerned with the restrictions placed on the copyright owners’ ability to exploit and use their work. It first considers the various mechanisms that are used to regulate contracts between authors and entrepreneurs and then assesses the impact of competition law on the ability of copyright owners to exploit their works. It also looks at the ways in which copyright contracts are regulated with respect to users of copyright, along with the issue of orphan works. The chapter concludes by outlining the different controls that are imposed on collecting societies.

Chapter

Cover Contract Law

14. Protecting the public interest  

The doctrine of illegality

This chapter examines how English law deals with contracts against the public interest under the doctrine of illegality. The doctrine of illegality reflects a broader principle that applies across private law, that legal actions cannot be founded on illegal acts. In contract law, its implication is that contracts contrary to law or public policy are void. The chapter first considers the problem of illegal behaviour in contracting before discussing the rule-based approach to illegality and its limits. It then reviews the Supreme Court decision in Patel v Mirza and how it gave rise to the ‘range of factors’ approach to illegality. It also looks at criteria that make a contract illegal, including cases where the illegality consisted of criminal and civil wrongs. The chapter concludes with an overview of other types of illegality, such as the ‘injurious to good government’ ground and restraint of trade.

Chapter

Cover Poole's Textbook on Contract Law

11. Illegality  

Robert Merkin, Séverine Saintier, and Jill Poole

Course-focused and comprehensive, Poole’s Textbook on Contract Law provides an accessible overview of the key areas on the law curriculum. This chapter examines contracts that are tainted by illegality or otherwise contrary to public policy, and how illegality affects the parties’ positions following the hugely influential Supreme Court decision of Patel v Mirza. A contract may be illegal from the beginning or illegality may arise as a result of statute (for example, express statutory prohibitions). Examples of illegal contracts are those intended to commit crimes or contracts prejudicial to sexual morality. As a general principle, illegal contracts cannot be enforced and benefits conferred in the performance of an illegal contract cannot be recovered. There are some exceptions, however, such as where the parties are not in pari delicto (not equally guilty), or where the claimant can establish his right to the money or property transferred without having to rely upon the illegal contract. This chapter also examine the law’s treatment of contracts in restraint of trade, including exclusive dealing and exclusive service agreements.

Chapter

Cover Koffman, Macdonald & Atkins' Law of Contract

15. Illegality  

This chapter explores the illegality of contracts. Contracts which may fall within the scope of the restraint of trade doctrine are considered, including the Court of Appeal’s approach in Proactive Sports Management Ltd v Rooney. The chapter also looks at other reasons why a contract may be declared illegal or void at common law, such as grounds of public policy. Policy factors and the illegality defence are explored in light of recent case law and the Law Commission Final Report ‘The Illegality Defence’. Useful case law illustrations demonstrate how the courts have dealt with the issues surrounding illegality in a range of contexts, such as contracts to commit an unlawful act, contracts promoting sexual immorality, contracts prejudicial to the interests of the state, contracts prejudicial to the administration of justice, and contracts promoting corruption in public life. The rules on severance in light of the Supreme Court decision in Tillman v Egon Zehnder (2019) and subsequent case law are also considered. The consequences and effects of impropriety and illegality are also looked at. The landmark case of Patel v Mirza [2016] UKSC 42, and its impact on the law, is also explored in this chapter.

Chapter

Cover Poole's Textbook on Contract Law

10. Duress, undue influence, and unconscionable bargains  

Robert Merkin KC, Séverine Saintier, and Jill Poole

Course-focused and comprehensive, Poole’s Textbook on Contract Law provides an accessible overview of the key areas of the law curriculum. This chapter examines contracts that are tainted by illegality or otherwise contrary to public policy, and how illegality affects the parties’ positions following the hugely influential Supreme Court decision of Patel v Mirza. A contract may be illegal from the beginning, or illegality may arise as a result of statute (for example, express statutory prohibitions). Examples of illegal contracts are those intended to commit crimes or contracts prejudicial to sexual morality. As a general principle, illegal contracts cannot be enforced, and benefits conferred in the performance of an illegal contract cannot be recovered. There are some exceptions, however, such as where the parties are not in pari delicto (not equally guilty), or where the claimant can establish his right to the money or property transferred without having to rely upon the illegal contract. This chapter also examine the law’s treatment of contracts in restraint of trade, including exclusive dealing and exclusive service agreements.

Chapter

Cover Poole's Textbook on Contract Law

11. Illegality  

Robert Merkin KC, Séverine Saintier, and Jill Poole

Course-focused and comprehensive, Poole’s Textbook on Contract Law provides an accessible overview of the key areas of the law curriculum. This chapter examines contracts that are tainted by illegality or otherwise contrary to public policy, and how illegality affects the parties’ positions following the hugely influential Supreme Court decision of Patel v Mirza. A contract may be illegal from the beginning or illegality may arise as a result of statute (for example, express statutory prohibitions). Examples of illegal contracts are those intended to commit crimes or contracts prejudicial to sexual morality. As a general principle, illegal contracts cannot be enforced and benefits conferred in the performance of an illegal contract cannot be recovered. There are some exceptions, however, such as where the parties are not in pari delicto (not equally guilty), or where the claimant can establish his right to the money or property transferred without having to rely upon the illegal contract. This chapter also examine the law’s treatment of contracts in restraint of trade, including exclusive dealing and exclusive service agreements.

Chapter

Cover Poole's Casebook on Contract Law

11. Illegality  

Robert Merkin and Séverine Saintier

Poole’s Casebook on Contract Law provides a comprehensive selection of case law that addresses all aspects of the subject encountered on undergraduate courses. A contract may be deemed illegal or void on grounds of public policy. This chapter examines the illegality of contracts under English law, contracts prohibited by statute (express prohibition), and contracts that are illegal in their performance. It considers contracts that are void on grounds of public policy, focusing on contracts in restraint of trade, covenants between employer and employee, exclusive dealing agreements, exclusive service agreements, and severance of the objectionable parts of covenants. The chapter also discusses the recovery of money or property transferred under an illegal contract, along with the UK Law Commission’s proposed reform of the law governing illegal contracts and the Supreme Court decision of Patel v Mirza over controversy concerning the nature of illegality, the basis for intervention in illegal contracts, and the ability to recover under an illegal contract.

Chapter

Cover Poole's Casebook on Contract Law

11. Illegality  

Robert Merkin KC, Séverine Saintier, and Jill Poole

Poole’s Casebook on Contract Law provides a comprehensive selection of case law that addresses all aspects of the subject encountered on undergraduate courses. A contract may be deemed illegal or void on grounds of public policy. This chapter examines the illegality of contracts under English law, contracts prohibited by statute (express prohibition), and contracts that are illegal in their performance. It considers contracts that are void on grounds of public policy, focusing on contracts in restraint of trade, covenants between employer and employee, exclusive dealing agreements, exclusive service agreements, and severance of the objectionable parts of covenants. The chapter also discusses the recovery of money or property transferred under an illegal contract, along with the UK Law Commission’s proposed reform of the law governing illegal contracts and the Supreme Court decision of Patel v Mirza over controversy concerning the nature of illegality, the basis for intervention in illegal contracts, and the ability to recover under an illegal contract.