Transcript Chapter 6
Chapter 6 Certainty © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL General • Hillas & Co v Arcos Ltd (1932) • Mackey v Wilde (1998) © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL Agreements to Agree • Pagnan SpA v Feed Products Ltd (1987) “unworkable or void for uncertainty” • Walford v Miles (1992) • Cadbury Ireland v Kerry Co-Op (1982) • Coal Cliff Colleries v Sijehama Ltd (1991) • Con Kellergis v Calshonie (1997) • Triatic Limited v Cork County Council (2006) • Bula Ltd v Tara Mines (1987) © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL Agreements to Negotiate • “We’ll sell you Kilbane, but we’ll have to negotiate on the details.” • But can such agreements to negotiate be enforceable? © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL • Walford v Miles – generally agreements to agree are void for uncertainty • See also Cadbury v Kerry Co-Op Creameries [1982] ILRM 77 - A commitment to enter honest negotiations – at best which is not enforceable © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL Other jurisdictions? • Coal Cliff Colleries v Sijehama (1991) 24 NSWLR 1 (NSWCA) – In principle, it can be enforceable • Con Kellergis v Calshonie Ltd (Victoria) (1997 Vic Lexis 175) – Agreement to vary building K – said price would be determined by good faith negotiation – Court said was sufficiently determinate © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL Practical Alternative • Lock-out agreements • I will buy Kilbane, and we will agree to work out the details later, but we agree that you will listen to no other offers for him for a period of one month… • Walford v Miles – acceptable in principle © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL Triatic Limited v Cork County Council [2006] IEHC 111 • P was in negotiation for some time with the defendant in relation to developing Fort Camden in Cork. • P contended that the parties had a “lock out” agreement in place and that, on the expiry of that lock-out agreement, the parties agreed to continue good faith negotiations. • Laffoy J agreed that a lock out agreement had been in place (and thus accepted that such are acceptable in principle). • She rejected an argument that it was to continue until agreement was reached, holding that the parties had agreed that the time period had been expressly set. • She seemed to say, however, that if it had actually been shown that an agreement to continue good faith negotiations had been reached, it would likely be void for uncertainty. © GRIFFITH COLLEGE PROFESSIONAL LAW SCHOOL