Legal Agreements are for Life and not Just for Christmas…..

The Court of Appeal case of Dixon and another v Blindley Heath Investments Limited (2015) EWCA Civ 1023 is an interesting decision about what happens when a business (or its lawyers) prepare a set of legal documents, which are intended to govern the rights of the stakeholders in the business, but then the business ignores or forgets about those documents …

Research and Development Credits – Good News for SMEs

My reaction when company due diligence of a takeover target uncovers the application of R&D tax credits by the target, is typically one of wondering what is going to happen next and how big an issue it is going to be. All too often I see the news met by the knowing and weary shaking of accountancy and tax heads, …

Contract Translations (A Rose by any other name….)

Next time you are negotiating a contract with a business based in a country where English is not the first language, always try to put language in there which makes clear that the language of the Agreement is English and that in the event of any conflict between the English version and a translation, the English version will take precedence. …

Force Majeure Clauses

I have noticed over the years, that the point in contract negotiations where the lawyers start talking about the force majeure clause often coincides with the point at which clients show the first serious signs of losing the will to live. And yet (strange but true) if a force majeure clause does not meet the business needs of one or …

Reasonable Indemnities (Hmmph)

Indemnities (like industrial strength cleaners) have their place in the world, but (also like industrial strength cleaners), they should not be over-used and they should not be used in the wrong places. I have lost count over the years of the number of times a client has reviewed a contract before me, and failed to strike through language requiring them …

When does an Engagement become an Employment for Tax Purposes?

We often get questions from clients about how they can protect their consultancy business from being made subject to IR35 Rules in relation to particular engagements. There are some general factors, which will always help the decision come down against a company being treated as a “personal services company” for tax purposes. These include factors such as: (a) being able …

Damages for Late Payment of Insurance Claims

The Enterprise Bill 2015-16 adds two new sections 13A and 16A to the Insurance Act 2015, which have which are proving rather controversial in some quarters in the insurance industry. Section 13A if it becomes law, will require insurers to pay insurance claims within a reasonable time, and to pay contractual damages to their insured if they do not do …