Penalty Clause in UK Law

  • Cavendish Square Holding BV v Talal El Makdessi; ParkingEye Ltd v Beavis
    • Supreme Court
    • 04 Noviembre 2015
    ... ... , namely the principles underlying the law relating to contractual penalty clauses, or, as we will call it, the penalty rule. The first appeal, ... a sum representing a genuine pre-estimate of damages and a penalty clause in which the sum was out of all proportion to any damages liable to be ... ...
  • B.I.C.C. Plc v Burndy Corporation
    • Court of Appeal (Civil Division)
    • 13 Julio 1984
    ... ... for the purposes of this appeal are clauses 9 and 10—particularly clause 10—but it is convenient to summarise all the major provisions of the ... due from Burndy, and so clause 10(iii) ought to be regarded as a penalty clause, and ought not to be enforced by a Court of Equity, because the ... ...
  • Scandinavian Trading Tanker Company A.B. v Flota Petrolera Ecuatoriana (Scraptrade)
    • House of Lords
    • 30 Junio 1983
    ... ... by a shipowner of his contractual right, under the withdrawal clause in a time charter, to withdraw the vessel from the service of the ... analogy sought to be drawn between a withdrawal clause and a penalty clause of the kind against which courts of law, as well as courts of ... ...
  • Interfoto Picture Library Ltd v Stiletto Visual Programmes Ltd
    • Court of Appeal (Civil Division)
    • 12 Noviembre 1987
    ... ... case for saying that condition 2 was void and unenforceable as a penalty clause; but that point was not taken in the court below or in the notice ... ...
  • Williams v Roffey Bros & Nicholls (Contractors) Ltd
    • Court of Appeal (Civil Division)
    • 23 Noviembre 1989
    ... ... The main contract contained a penalty clause. The judge found that on 9th April 1986 the defendants promised to ... ...
  • Cutler v Wandsworth Stadium Ltd
    • House of Lords
    • 28 Febrero 1949
    ... ... I need not refer to Part II. Part III contains the penalty clauses which are as follows: "29. Where a person ... But if there is a penalty clause the right to a civil action must be established by a consideration of the ... ...
  • Suisse Atlantique Société d'Armement Maritime S.A. v N.v Rotterdamsche Kolen Centrale (Silvretta.)
    • House of Lords
    • 31 Marzo 1966
    ... ... to remain in force "for a total of two years consecutive voyages" (Clause 23 of the charterparty). The vessel had "with all possible dispatch" to ... the arbitrators to hold that in truth this was in the nature of a penalty clause or a limitation clause limiting liability. I do not think it is ... ...
  • Shiloh Spinners Ltd v Harding (A.P.).
    • House of Lords
    • 21 Marzo 1973
    ... ... to perform and observe" and "default" appearing in the re-entry clause in order to found an argument that this clause became inoperative when the ... to copyholds, or where the forfeiture was in the nature of a penalty. Although the principle is well established, there has undoubtedly been ... ...
  • Gilbert Ash (Northern) Ltd v Modern Engineering (Bristol) Ltd
    • House of Lords
    • 25 Julio 1973
    ... ... By clause 17 of the contractors' conditions in the sub-contract, provisions in the ... That would simply be to impose a penalty for refusing to admit his claims. Not only would the withholding of the ... ...
  • Stockloser v Johnson
    • Court of Appeal
    • 12 Febrero 1954
    ... ... There was a clause providing that in those circumstances the other party might rescind on ... The Plaintiff alleges that this amounts to the exaction of a penalty from which he is entitled to be reloaded ... 2 It is not the ordinary ... ...
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