The Court of Appeal further commented that estoppel by convention is a relatively rare form of estoppel that may arise when both parties to a contract act based on a shared assumption concerning circumstances relevant to their contract. © Wright Hassall 2020 It can arise when parties to a contract act on an assumed state of the law or the facts. No cause of action entitling Mears to payment of the deducted sum (other than estoppel) was identified. The reference to Mears being “repaid” is also surprising, as Mears did not make any payment to Shoreline that was capable of being repaid.However, the principled basis for Akenhead J’s decision may be that Mears’ claim was treated as being for sums due pursuant to the contract in respect of work done after the first six months, and that Shoreline, by way of defence to the claim, sought to set-off the sums it had overpaid for work done during the first six months but was estopped from doing so.
What does this mean? by The legal concept of estoppel does not arise very often, but where applicable, it can potentially be crucial to the outcome.As confirmed and clarified by the courts in a recent construction case, estoppel by convention means that a party is prevented, or is “estopped”, from arguing a point due to the way the parties have acted.There are some key requirements. Details of these can be found on our
These can be summarised as follows:In the recent case mentioned above, which was Mears Limited –v- Shoreline Housing Partnership Limited, the court held that there was an estoppel both by convention and representation, as a result of which the employer to the This case is a good example of how even apparently remote and unusual aspects of the law can have important implications, the implication here being that the claiming party was awarded £300,000 due to the estoppel argument.Welcome to 'Tina Talks' this is my first video update. As confirmed and clarified by the courts in a recent construction case, estoppel by convention means that a party is prevented, or is “estopped”, from arguing a point due to the way the parties have acted. If that is right, Shoreline is estopped from asserting that it was entitled to make the deduction and, once it is so estopped, the amount deducted should be repaid because there is no remaining good ground to justify its retention.”At first blush, this explanation appears unconvincing because it proceeds on the (incorrect) footing that it is for Shoreline to justify its retention of the deducted sums, rather than for Mears to make out its claim to them. The tenant’s liability to make such contributions by way of the estoppel ended when he … As no express provisions were contained in the lease, an estoppel by convention was created by the landlord’s supply and the tenant’s payment towards the costs of that supply.
http://constructionblog.practicallaw.com/estoppel-by-convention-a-shield-or-a-sword"> I'm going to be doing a video update every single month, and my video update will be entirely based on answering questions that you have put to me.A leading Midlands law firm has taken an innovative anti-Covid approach to kickstart the resumption of physical meetings.On 1 September, NHS Continuing Healthcare (CHC) assessments restarted, having been suspended since 19 March when the UK went into lockdown and the government introduced new arrangements for discharging patients from hospital in order to free up beds for Covid patients.Javascript must be enabled for the correct page display
Earlier this year, Akenhead J handed down judgment in The case makes essential reading for the construction practitioner, not least because of its discussion of the familiar, but thorny, principle that an estoppel by convention cannot found an independent cause of action. An estoppel by convention, is an estoppel by representation of fact, a promissory estoppel or a proprietary estoppel, in which the relevant proposition is established, not by representation or promise by one party to another, but by mutual, express or implicit, assent.
In so deciding, he made a number of observations that are worthy of note.Akenhead J held that, while an estoppel by convention cannot be used as a sword (rather than as a shield), analysis is required to determine whether it is being used as a sword.
Estoppel by convention The High Court has held that estoppel by convention is established where parties have established a convention by agreement or understanding and have regulated their subsequent dealings according to that convention such that it would be unjust or unconscionable if one of the parties moved away from it. In other words, it is to be used “as a shield and not as a sword”.Shoreline, a social landlord, invited Mears, a contractor, to tender for on-going maintenance and repair works to Shoreline’s substantial property portfolio. Mears commenced proceedings seeking payment of the sum deducted. The assumption must be shared, or at least “made by one party and acquiesced in by the other”, and must be communicated between the parties in question.
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