Can a contract be backdated to cover a previous gap? I run a concession which trades on private property in the United Kingdom. My contract expired on 31 March 2021 and there was no correspondence to renew it. I have been allowed to continue trading, but the business has been badly affected by Covid-19. The previous three-year contract was due to end on 31 December 2020 but in July 2020 was extended to 31 March 2021, with 3 months free of charge to me due to Covid-19. Now I have been offered a new one-year contract, backdated to 1 April 2021. The fee to be paid by me is the full rate previously paid, with no consideration for the diminished trade caused by the pandemic. There is no opportunity to negotiate the terms or the fee between April 1 and to date, during which I have been allowed to trade. I have been given 2 weeks to sign. Moreover, the contract (as before) requires me to supply my product occasionally on demand to the landowner for a price determined by them, when they need it. This price has not been updated for 10 years, despite the submission of 'fair price' requests. Is this move by the landowner fair and legal? Their stance is to &quot;take it or leave it&quot; but this is my livelihood, and the location is important. I would rather not be specific about the landowner or the nature of the business.
It depends on what you mean by backdated. If you mean that the terms of the contract provide that they apply to a period which pre-dates the date on which the contract was entered into then this is fine. The parties are free to negotiate terms which govern their past behaviour. If instead you mean that the contract purports to have been entered into in the past then no, that is not legitimate. Depending on the circumstances this can amount to fraud or forgery. In practice it is common for people to misunderstand the difference and so you will often find contracts backdated by inserting the past date as the date of the contract (the 2nd type) when the correct approach is to have a clause which specifies that the terms apply from an earlier date (the 1st type). There is also an implied question here about what those terms should be for the backdated period. The parties are free to agree what they like in order to &quot;rewrite history&quot; but failing that, what are the terms governing the period after the fixed term contract came to an end? The contract itself may contain an automatic renewal clause. Failing that there are a number of possibilities. From Practical Law (pay-walled): In the circumstances you describe (the parties have continued to deal) one of the following legal outcomes is likely: A new agreement has been entered into. A contract may be created by actions as well as words. For more information about contract formation, see Practice note, Contracts: formation The old agreement has been continued, on the same or varied terms. Just as a contract may be created by actions, it can be varied by them too. Contract clauses seeking to limit the parties' freedom to vary the contract, for example by imposing formal requirements for a variation, may themselves be varied. For more information on variation generally, see Practice note, Contracts: variation. There is no contract, but only a duty to pay a reasonable sum for services requested. For more information on restitution generally, see Practice note, Remedies: restitution In determining which of the above applies, a court will look at: What the parties have said and done about extending the contract or continuing to deal. The extent to which their behaviour is consistent with the terms of the old agreement. If the parties continue to do business in a way which is consistent with the terms of the expired agreement, this will support an argument that their relationship is governed by its terms. Whether a court will hold that the expired agreement has been extended in its entirety or that just some of the old terms apply will depend on the facts. However, the following cases suggest that where there have been no disputes over specific terms in the post-expiry period, the entire original agreement may apply: [rest omitted for brevity] Disclaimers: my answer is based on general contract law. Landlord and tenant law is complex and specific rules may well exist in your case. The terms of your lease may also affect the situation. We don't give specific legal advice here and you should speak to a solicitor about you situation if in any doubt.
Assuming there is a contract (and it is not clear that there is), this is a purported liquidated damages clause. Alice is trying to dictate what Bob will owe her if he breaches his promise to not share the file. However, there are limits on what can be stipulated in a liquidated damages clause. Super Save Disposal Inc. v. Blazin Auto Ltd., 2011 BCSC 1784: The enforceability of a liquidated damages provision in an agreement engages two competing objectives: freedom of contract versus the right of the courts to intervene in a given case to relieve against an oppressive or unconscionable result flowing from enforcement of the liquidated damages term. It is well settled that the enforceability of such a term turns on whether it is a genuine pre-estimate of the expected loss that a party will sustain in the event of a breach of contract or a penalty clause so oppressive or unreasonable that equitable intervention is justified to prevent an injustice. Judicial interference with a liquidated damages provision will be justified if enforcement of the term results in payment of a sum which is extravagant and unconscionable in comparison with the greatest loss that could conceivably be proved to have followed from the breach Oppressive liquidated damages clauses work against a person's freedom to breach and the possibility of efficient breach. Perhaps if the file were a trade secret like the Coke recipe, the $1,000,000 might be a genuine pre-breach estimate, but without much more information about the nature of the file, I predict a court would find the $1,000,000 to be extravagant and unconscionable in comparison to the greatest loss that could conceivably be proved to have followed from the breach. What follows is less researched. If it is not a contract then I think it is at best a licence, which would make Bob's agreement to pay $1,000,000 a free-standing unenforceable promise. I also agree with Matthew's position on the possibility (and limitations of) a claim in promissory estoppel, especially in jurisdictions following Waltons Stores or similar reasoning.
A contract is terminated by performance when all parties have completed their obligations. So, when you have delivered and they have paid and any other obligations incidental to that have been completed (such as the expiry of any warranty or guarantee) then the contract has ended. There are other ways of terminating a contract but they are (hopefully) not relevant here. What you have in your contract is not an end date but a date by which you were obliged to complete one of your obligations. Not delivering by that date is technically a breach of the contract which would entitle the other party to sue. However, there is a mechanism in the contract for varying the date for delivery which you have done and the client has agreed to. Note that there is an implicit term that you will exercise any powers you have under the contract (such as extending the delivery time at your "sole discretion") in good faith - if your client rejected your proposed revision and sued, you would have to demonstrate that the revised date was reasonable in the circumstances. You should not unilaterally materially amend a written document that records a contract - doing so entitles the other party to terminate the contract.
Yes they can (by their contract) - Clause 3.1: The Seller reserves the right to amend prices at any time without prior notice. Errors and omissions are excepted. However, it is possible that there are consumer protection laws in your jurisdiction that prohibit this. I think this is unlikely, however.
client must provide me a suite in his hotel that costs $10K for a night based on a contract we held in the past (the contract has expired as of 31-Dec-18 but he never rendered the service because I didn't ask for it. The contract mentioning $10K has expired and is no longer relevant. You had a chance for a $10K suite before 31 Dec 2018 but you did not take it. There is no obligation on the client to keep this chance for you indefinitely. What happens now ($6K suite) is a completely new contract you have accepted. You are not entitled to anything in relation to the $10K suite from the past opportunity.
In England and Wales, falsely suggesting a sale or discount price would be contrary to the Consumer Protection from Unfair Trading Regulations 2008. https://www.hants.gov.uk/business/tradingstandards/consumeradvice/goodsandservices/pricinglaw practices that have been widely used by businesses for many years are now deemed under the Guide as “less likely to comply” or, in other words, more likely than not to be viewed as misleading and in breach of the CPUT Regulations. So what is now less likely to comply? Price establishing for 28-days within a 6-month period Using a reference price that applied many months (at least more than 2 months) prior to the promotion. Using a reference price when only a minimal amount of product actually sold at that price. There is now an expectation that a business will have sold a “significant number” of units at the higher price in order to make a price comparison. https://marketinglaw.osborneclarke.com/advertising-regulation/no-more-28-day-rule-pricing-and-promotions-under-the-spotlight/
There may be violations of consumer protection and/or advertising statutes here by the online store, but the common law position is that: The website's owner is making an invitation to treat Based on that, you are making an offer The contract comes into place when the website's owner accepts your offer. The time of contract formation is "when the parties give objective manifestation of an intent to form the contract." You would need to read the site very carefully, in particular their terms and conditions, acknowledgement page and/or email to see if they are actually accepting your offer or if there are conditions attached. If there is no clear, unconditional acceptance then there is no contract at that time; this applies even if you have paid for the goods. If this is the case (and I strongly suspect that it would be for most online stores), then their acceptance of your offer and the formation of the contract probably does not come into effect until they "give objective manifestation of an intent to form the contract" by shipping the goods. Up until that time there is no contract and their only obligation to you is to promptly refund your money.
The parties to the contract have not changed; they are still the purchaser company and the scrap vendor. The obligations have not changed; they are presumably based on amounts of stock and monetary value. The only changes are in the name of one party and its ownership, so unless the contract permits termination for those reasons (not unheard of, if a contract has been intended to provide/avert support from/by a particular party or symbolism) the contract still stands with all its terms. A novation is not needed.