RTS Flexible Systems Ltd v Molkerei Alois Müller Gmbh & Co KG (UK Production) – WLR Daily

Posted March 12th, 2010 in contracts, law reports, Supreme Court by sally

RTS Flexible Systems Ltd v Molkerei Alois Müller Gmbh & Co KG (UK Production) [2010] UKSC 14; [2010] WLR (D) 75

“A draft contractual agreement to install equipment in a factory, which was never executed as the work was commenced, completed and partly paid for during the negotiations, took effect as a binding contract as the essential terms had been agreed and neither party had intended agreement of the remaining terms to be a precondition to a concluded contract. Although the draft agreement contained a clause stating that the contract was not effective until it was executed, it was possible for parties to waive such a clause and, on the facts, these parties had done so.”

WLR Daily, 11th March 2010

Source: www.lawreports.co.uk

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