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Conditions, Promissory and Contingency

Performance of Contract, Prevention of

Duty to Co-operate
Last updated: 19-May-2015

Mona Oil Equipment and Supply Co Ltd v Rhodesia Rlys Ltd [1949] 2 All ER 1014, at 1018 per Devlin J:

… it is no doubt true that every business contract depends for its smooth working on co-operation, but in the ordinary business contract, and apart, of course, from express terms, the law can enforce co-operation only in a limited degree   to the extent that is necessary to make the contract workable.

A V Pound & Co Ltd v M W Hardy & Co, Incorporated [1956] 1 All ER 639, per Lord Somervell of Harrow at p.650:

There may well be cases in which each party must be ready and willing to co-operate. If, in the present case, the sellers had written to the buyers, told them of the licensing scheme, told them the suppliers’ name and asked them to give the name of the destination and the ship to the suppliers, there might well have been an obligation on the buyers to do these things. The sellers invited your Lordships to lay down some general rule. There can be no general rule.

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