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Faglitteratur
Interpretation of Commercial Contracts
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Innhold
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Preface
Prologue
Contents
List of Abbreviations
Table of Cases and Decisions
Chapter 1 Introduction
1.1 Why the interpretation of contracts is such a complex matter
1.2 The aim of this book – to ask the right questions in the right order and providing guidance through tests
1.3 No clear distinction between the law of contract and the law of obligations in Norwegian law
1.4 The content of commercial contracts must often be determined in three dimensions
1.5 The Nordic and European historical-comparative dimension
1.6 The structure
Chapter 2 The ‘objective’ interpretation
2.1 Introduction
2.1.1 Overall and comparative remarks
2.1.2 Essential developments in the case law
2.1.3 The justification for the objective starting point
2.2 The key elements of the ‘objective’ approach
2.3 How to determine the relevant objectivised addressee?
2.4 How to determine and reconstruct the relevant context?
2.4.1 Introduction
2.4.2 Which circumstances are relevant as ‘context’?
2.4.3 What is the essential ‘context’ of commercial contracts?
2.4.3.1 Initial remarks on the impact of the negotiations
2.4.3.2 Selected case law on the impact of the negotiations
2.4.3.3 The purpose of the contract
2.4.3.4 The ‘internal context’ (scheme) of the contract
2.4.3.5 The background law as context
2.5 The scope of the objective interpretation: may business common sense arguments override a more literal construction?
2.5.1 Introduction
2.5.2 Comparison with English law
2.5.3 Summary
Chapter 3 The threshold for deviating from an objective interpretation of a commercial contract
3.1 Introduction
3.1.1 The traditional starting point and comparative observations
3.1.2 Introduction to the three alternatives for the application of the traditional ‘subjective’ starting point
3.1.3 Can the interpretation of commercial contracts be distilled down to certain presumptions?
3.2 When is the common understanding rule applicable in commercial contracts?
3.2.1 To what extent is the traditional ‘subjective’ starting point replaced by the objective starting point in commercial contracts?
3.2.1.1 Outline of the initial development in case law
3.2.1.2 The landmark case in Rt. 2002 p. 1155 (Hansa Borg)
3.2.1.3 Is the subsequent case law in accordance with Hansa Borg?
3.2.1.4 Summary
3.2.2 What are the relevant tests for determining whether the parties had a common understanding that deviates from an objective interpretation?
3.2.2.1 A matter of proof or a more complex normative assessment?
3.2.2.2 Key aspects of negotiating and drafting commercial contracts, particularly the ‘lex-posterior principle’
3.2.2.3 Did the case law up until Rt. 2002 p. 1155 (Hansa Borg) reveal whether this is a matter of proof or a more complex normative assessment?
3.2.2.4 Rt. 2002 p. 1155 (Hansa Borg) clarified the burden of proof and refined the proportional standard of proof
3.2.2.5 Rt. 2002 p. 1155 (Hansa Borg) is affirmed in subsequent case law
3.2.2.6 Summary: the burden of proof and key tests to determine the proportional standard of proof for applying the common understanding rule
3.2.2.7 The implications of the tests
3.2.2.8 Comparative observations
3.2.3 Subsequent conduct as an indication of a common understanding
3.2.4 Whose understanding?
3.2.5 When can the parties’ understanding be considered ‘common’?
3.2.6 The common understanding rule and standard contracts
3.2.7 Multi-party agreements and contracts to be relied upon by third parties
3.3 Essential reasoning in the interpretation of commercial contracts
3.3.1 Introduction
3.3.2 Why should the judge be cautious about relying on the parties’ hypothetical intentions?
3.3.3 Interpretation as a matter of ‘risk’ allocation?
3.4 Summary: how should the threshold for deviating from the objective starting point be phrased?
3.5 When can the so-called ‘good faith standard’ for interpretation be applicable to commercial contracts?
3.5.1 Introduction
3.5.2 Standard or rule?
3.5.3 The threshold for applying the good faith standard to commercial contracts
3.5.4 Summary
3.6 The threshold for ‘implying’ terms or assumptions when interpreting commercial contracts
3.6.1 Introduction
3.6.2 Why should the judge be cautious about implying terms and assumptions? Comparative observations
3.6.3 The threshold for implying terms or assumptions when interpreting commercial contracts
3.6.3.1 Outline of the tests in English law and the DCFR
3.6.3.2 Norwegian case law observed through the lense of these tests
3.6.3.3 Summary and restatement
3.7 Unforeseen events in the interpretation of commercial contracts
3.7.1 Introduction
3.7.2 The threshold for deviating from an objective interpretation of a long-term contract based on an ‘unforeseen event’
3.7.3 The relationship between interpretation and the doctrine of failed assumptions where the disputed issue is addressed in the contract
Chapter 4 The effect of the contract as a whole where the contract is unclear or silent
4.1 Introduction
4.2 The hierarchy between the objective interpretation, the contract as a whole, the background law and the contra proferentem rule
4.2.1 General observations on developments in case law
4.2.2 The deeper and broader interpretation has a strong bearing on the sequence of the interpretation process and the role of the contra proferentem rule
4.2.2.1 Outline of the sequence
4.2.2.2 The narrow scope of the contra proferentem rule
4.3 How can a solution be derived from the contract as a whole?
4.3.1 General remarks
4.3.2 The preamble may reveal the purpose or the overall contractual scheme
4.3.3 Internal consistency and analogies
4.3.4 ‘Lex specialis’
4.3.5 Network contracts and ‘back-to-back’ contracts
Chapter 5 The effect of the background law in the interpretation process
5.1 Introduction
5.2 Comparative observations on gap-filling and implied terms in law
5.2.1 The distinction between interpretation and gap-filling
5.2.2 Outline of the English doctrine on implied terms in law
5.2.3 Implication of a term in law into a detailed commercial contract?
5.3 Step one – determine the isolated weight
5.4 Step two – is the presumption applicable in the present case?
5.5 Step three – is the strong presumption applicable to comprehensive and carefully drafted contracts?
5.5.1 Introduction
5.5.2 Question one – is the relevant background law compatible with the contract?
5.5.3 Question two – is the silence on the disputed issue intended?
5.6 Using the background law to determine the content of unclear provisions
5.6.1 General remarks
5.6.2 The contract incorporates legal terms
5.6.3 The disputed issue is only partly addressed in the contract: illustrated by cancellation for convenience
5.6.4 Contract practice as background law
5.7 The effect of fundamental remedies in the background law where the contract is silent
5.8 Contractual mechanisms addressing the interaction between the contract and the background law
5.8.1 ‘Sole remedy’ clauses and the relationship between actual damages and liquidated damages
5.8.1.1 Initial remarks on ‘sole remedy’ clauses
5.8.1.2 The relationship between damages and liquidated damages where the contract does not have a ‘sole remedy’ clause
5.8.2 The impact of entire agreement clauses
5.8.2.1 Introduction and comparative observations
5.8.2.2 What is the impact under Norwegian law?
5.8.2.3 Summary and the impact of the background law
Chapter 6 Summary and methodology: the key questions and their order in the interpretation of commercial contracts
6.1 Introduction
6.1.1 Outline of the chapter
6.1.2 Schematical outline of the steps in the process of interpretation
6.2 Step one – determine whether an objective interpretation provides a solution to the disputed issue
6.3 Step two – if a party argues an interpretation deviating from the objective interpretation
6.3.1 Based on the common understanding rule or the good faith standard
6.3.2 Based on a term or ‘assumption’ not expressed in the contract
6.4 Step three – the key questions where a prima facie objective interpretation does not provide a clear solution
6.4.1 Introduction
6.4.2 Step two in the objective interpretation: does the overall scheme of the contract shed light on the disputed issue?
6.4.3 The effect of the background law
6.4.4 The contract is silent on the disputed issue
6.5 Step four – the key questions where the tests above do not provide a solution to the disputed issue
6.5.1 Introduction
6.5.2 What will generally be a sensible solution to the disputed issue?
6.5.3 The scheme and purpose of the contract, the background law and contract practice may be useful in order to rule out certain interpretations
6.5.4 The solution can sometimes be derived directly from the purpose of the contract
6.5.5 What the parties would have agreed and the contra proferentem rule
6.6 Summary – the key questions and their order
Chapter 7 Summary in Norwegian
7.1 Oversikt over bokens tese og hovedlinjer
7.1.1 Avtaletolking er en kompleks øvelse
7.1.2 Formålet med denne boken – å stille de riktige spørsmålene i riktig rekkefølge og presisere de sentrale vurderingstemaene
7.1.3 Utviklingslinjer
7.1.4 Analyseverktøyet
7.1.5 Begrunnelsen for utgangspunktet om objektiv tolking
7.1.6 Kan det trekkes slutninger fra utgangspunktet om objektiv tolking?
7.2 Sammenfatning av analyseverktøyets nøkkelspørsmål og vurderingstemaer
7.2.1 Skjematisk oversikt over trinnene i tolkingsprosessen
7.2.2 Trinn 1 – avgjøre om en objektiv tolking gir svar på tolkningsspørsmålet
7.2.2.1 Essensen i objektiv tolking
7.2.2.2 Objektiv tolking er ikke en bokstavtolking
7.2.2.3 Hvis en objektiv tolking gir et klart svar på tolkningsspørsmålet, er dette som et klart utgangspunkt avgjørende
7.2.3 Trinn 2 – hvis det hevdes en forståelse som avviker fra en objektiv tolkning
7.2.3.1 Basert på regelen om felles forståelse eller god tro-standarden
7.2.3.2 Basert på «forutsetninger» etc. som ikke har kommet til uttrykk i kontrakten
7.2.4 Trinn 3 – de sentrale spørsmålene og vurderingstemaene hvor en objektiv tolking ikke gir noe umiddelbart og klart svar på tolkningsspørsmålet
7.2.4.1 Innledning
7.2.4.2 Trinn 2 i den objektive tolkingen: Gir kontraktens system noe bidrag til tolkningsspørsmålet?
7.2.4.3 Gir bakgrunnsretten noe bidrag til tolkningsspørsmålet?
7.2.4.4 Betydningen av kontraktens taushet
7.2.5 Trinn 4 – hvis heller ikke de ovennevnte spørsmålene og retningslinjene gir noen løsning på tolkningsspørsmålet
7.2.5.1 Innledning
7.2.5.2 Hva vil være en generelt god løsning på tolkningsspørsmålet?
7.2.5.3 Kontraktens system og formål, bakgrunnsretten og kontraktspraksis kan brukes til å eliminere visse tolkningsalternativer
7.2.5.4 Løsningen kan noen ganger utledes mer direkte fra formålet
7.2.5.5 Betydningen av den hypotetiske partsviljen og uklarhetsregelen
Appendix International instruments about the interpretation of contracts
CISG Article 8
UNIDROIT Principles for International Commercial Contracts (UPICC)
Principles of European Contract Law (PECL)
Draft Common Frame of Reference (DCFR)
Indexes
Literature
Subject Index
Subject Index in Norwegian
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