Commercial Law - Implied Contract clause - Letter of Engagement

The case of Weetwood Services Ltd v Ansvar Holdings Ltd [2007], dealt with the impact of the duration of the contract. The defendant occupied a site on which it planned to develop the exhibition space. She received a deduction notice by the local authority on the creation of an unauthorized culvert for a stream on the website. The existence of the affected culvert construction permit for the proposed car dealership.

It was the intention of the authority to remove the channel andreplaced by an open channel flow. The defendant engaged the services of the plaintiff to offer engineering company, a report on the canal. The plaintiff was asked:

- Whether the culvert was to handle the volume of water can pass probably ever (called) "1 in 100-year test," and

- Whether the former could get used 10m wide along the north-landing again within a channel.

By the terms of the engagement letter, the applicantrequired:

- Conducting a topographical survey;

- Provide assessment of the catchment hydrology of culverts inflow hydrographs for the return periods of 5, 25, 50 and 100 years;

- To create a HEC-RAS model of the watercourse, with the channel in place and with the spare channel, and

- To run the two models for various periods and return "report on the results.

In December 2001, unless the applicant shall submit a report to the conclusion that the culvert was inadequate.The defendant argued that the report does not match the letter of commitment is consistent that inadequate calculations was provided for the two models, only the results.

The applicant then some other information, although not to the satisfaction of the defendant, who refused to pay the fee of around 5,000 pounds. The claimant then issued proceedings.

The judge ruled that the limitation was the obligation of the plaintiff under the letter of commitment to the offerResults of mathematical modeling, without more. The defendant then presented.

The question was whether the text of the engagement letter, or an implied term, the defendant (the alternative to be made), who allege breach of contract could not provide the basis of the results of modeling, it had taken over.

The complaint should be dismissed.

It has been decided on appeal, that the true construction of the engagement letter, the applicant had notconducted in order to have the calculations involved in his report, report only the results. The proposed definition does not imply, therefore, was necessary for business efficacy. It was therefore decided that the purpose was the commitment of the applicant to show the potential for flooding, the information that the engineers had planned done to be determined.

© RT Coopers, 2007. This briefing note provides no comprehensive or complete statement of the law on the issues being debated notConstitute legal advice. It will deal only with general issues. Specialist legal advice should always be sought in relation to the particular situation.