Fixed-term contract meaning

Checklist This Checklist summarises the issues an employer should evaluate when shaping a career break and/or sabbatical policy, and when setting the arrangements to support such leave. The expressions ‘career break’ and ‘sabbatical’ carry no fixed legal definition, and the title used for the break does not dictate its legal character. In practice: ‘Career break’ commonly denotes a longer spell of unpaid absence during which the employment contract may remain in place, though more frequently it does not; and ‘Sabbatical’ typically refers to a shorter period of leave, usually unpaid but potentially paid or partly paid, during which the contract does continue. For detailed information on career breaks and sabbaticals generally, see Practice Note Career breaks and sabbaticals...

How to use this Checklist This Checklist flags common matters that arise when negotiating and drafting agreements to transfer intellectual property rights (IPRs) in a website. Many of the same points are also pertinent to other types of transaction. Key commercial considerations technical and functional requirements defining the relevant IPRs any cross‑licensing arrangements the terms underpinning the transfer of rights rights held by third parties Use the third column to capture observations or remarks as you work through the Checklist. Checklist for the transfer of intellectual property rights in a website &x2610; Verify each party’s legal status and whether any third parties (such as group affiliates) will benefit from the proposed agreement. &x2610; Confirm when the transfer becomes effective and whether it is contingent on any other agreements or events. &x2610; Confirm if the deal is a one‑off assignment of IPRs or if there will be ongoing licensing or support; where continuing...

This Checklist highlights the principal points and potential pitfalls to address when preparing and agreeing a payment clause in a business to business contract, covering late payment as well. For a model clause, see Precedent: Payment clause-commercial contracts. Guidance on late payment is in Practice Notes: Penalty interest rates in commercial contracts and Late Payment of Commercial Debts (Interest) Act 1998, including, in particular, the sections on: Contracts, organisations and debts subject to LPCD(I)A 1998 Calculating the statutory interest Express terms for late payment in place of statutory interest Meaning of 'grossly unfair' Price and payment terms in a contract are often closely linked. When using this checklist, also refer to: Drafting and negotiating a price clause-checklist. Legal issues, general comments and what to watch out for are noted. Late payment legislation The Late Payment of Commercial Debts (Interest) Act 1998 (LPCD(I)A 1998) allows all businesses and public sector bodies to claim statutory interest on late payment of commercial...

Practice Note: Contract interpretation—distinguishing between liquidated damages and penalty clauses As highlighted in this Practice Note, working out whether a liquidated damages provision will be struck down as a penalty is seldom straightforward and often demands careful judgment. Although each dispute turns on the court’s construction of the contract, there are several points to weigh when examining the ambit of a supposed liquidated damages term and its potential exposure to a penalty challenge, both in substance and effect. When you are drafting such a clause, it is vital to keep these considerations in view, and to think about how it sits alongside connected provisions, including any related terms that operate with it. See: Drafting and negotiating a liquidated damages clause—checklist Precedent: Liquidated damages clause For targeted analysis of the way authorities have treated provisions in commercial agreements that stipulate ‘default interest’, see the following materials: Penalty interest rates in commercial contracts Contract interpretation—distinguishing between liquidated damages and penalty...

Legal Issues General comments This Checklist highlights the principal provisions and matters to consider when drafting and negotiating time of the essence clauses. What to watch out for For a Precedent time of the essence clause with comprehensive drafting notes, see Precedent: Time of the essence clause. For guidance on time of the essence, the exceptions to the general rule, and practical considerations for customers and suppliers, see Practice Note: Time of the essence. Nature of the term: condition, innominate term or warranty Time is of the essence where the parties expressly state that time will be of the essence. If time is of the essence, delay may entitle a party to terminate the contract and to claim damages. Without express wording, time will be of the essence only if it is a condition of the contract. Where the timing provision is interpreted as an innominate term or a warranty, the remedy is generally confined to damages, unless the breach is very serious or...

In this issue: Employment contract Horizon scanning Pensions Tax Prohibited conduct (discrimination etc) Data protection and employee information Dates for your diary Trackers New Q&As Employment resources on Lexis+® Daily and weekly news alerts Employment contract Supreme Court reinstates High Court injunction preventing Tesco from ‘firing and rehiring’ employees on less favourable terms. In Tesco Stores Ltd v Union of Shop, Distributive and Allied Workers (USDAW) [2024] UKSC 28, the Supreme Court, unanimously and led by Lord Burrows and Lady Simler, upheld the High Court’s stance, reviving the injunction that bars Tesco from dismissing staff in order to strip them of a ‘permanent’ contractual entitlement to retained pay, then proposing re‑engagement without it. An implied term in the contracts curtailed Tesco’s ability to rely on dismissal rights for that end. Commentary on the ruling is provided by Neil Todd of Thompsons Solicitors; Jonathan Chamberlain and Connie Cliff of Gowling WLG; Philip Harman...

KSY Juice Blends UK Ltd v Citrosuco GMBH [2024] EWHC 2098 (Comm) What are the practical implications of this case? The upshot of the ruling is that where a sale of goods contract stipulates that price is to be agreed, and it never is, the bargain cannot be enforced, since price is plainly a fundamental term of such an agreement. This is because the price of the goods is, quite clearly, an essential component of the contract itself. The judgment will interest both those who prepare sale of goods documentation and those involved in disputes where wording of this kind appears. One might assume that stating the price is to be agreed would, failing consensus, simply engage section 8 of the Sale of Goods Act 1979 (SGA 1979), so that the buyer must pay a reasonable sum. Yet, this decision in effect concludes that the statutory mechanism is displaced by a clause making future agreement the sole route to fixing price, which amounts to an agreement to agree...

In this issue: Advertising, marketing and sponsorship Contracts Data protection International Supply chain LexTalk®Commercial: a Lexis®Nexis community Daily and weekly news alerts New and updated content Dates for your diary Trackers Advertising, marketing and sponsorship ASA rulings—5 November 2025 The Advertising Standards Authority (ASA) received a single complaint about advertising by On The Beach Ltd, which stated that customers booking particular holidays would be given free access to airport lounges. The ASA upheld the complaint. See: LNB News 05/11/2025 27... Contracts Ms Amlin Marine NV (on behalf of Ms Amlin Syndicate AML/2001) v King Trader Ltd [2025] EWCA Civ 1387 The Court of Appeal (Civil Division) dismissed the appellants’ challenge and confirmed that a ‘pay first’ clause in a marine insurance policy was enforceable against the Charterer. The policy had been issued by MS Amlin Marine NV to Bintan Mining Corporation (the Charterer), which had chartered the vessel Solomon Trader...

What is the Pensions Advice Allowance? Following consultation in 2016/17, the government brought in, from 6 April 2017, the Pensions Advice Allowance. It enables eligible pension scheme members to withdraw a fixed sum from their pension pot tax-free to cover holistic retirement advice. At the member’s instruction, the scheme may therefore reduce the value of the member’s pot by the advice fee and pay the funds straight to the member’s adviser. This measure stemmed from the Financial Advice Market Review, which highlighted an advice gap affecting people who require retirement planning support but cannot meet the cost from net-of-tax income or savings. It is available in addition to other existing advice allowances and payment routes for advice. These include adviser charging, which does not permit pension monies to be used to fund holistic retirement advice. For further details, see Other types of pensions advice measures below. The government’s aim is to help those preparing for retirement to use the Pensions Advice Allowance to fund holistic...

CASE HUB ARCHIVED This archived case hub sets out the position as at the decision of 8 March 2022; it is no longer being maintained. For further information, see the timeline and commentary. Case facts Outline An inquiry under CA98 Chapters I and II by the CMA into alleged infringements of competition law, relating to long‑term exclusivity in the provision of electric vehicle chargepoints located on or close to motorways. Latest developments On 8 March 2022, the CMA confirmed it would accept undertakings from Gridserve. Those undertakings include the following: ceasing enforcement of exclusive rights in agreements with Extra, MOTO or Roadchef after November 2026, which at present cover about two‑thirds of motorway service areas in the UK as a whole. This means Gridserve will cut the exclusivity duration in its current contracts with MOTO by roughly 2 years and with Roadchef by roughly 4 years (the Extra contract is scheduled to end in 2026) not enforcing exclusive rights at...

An intention to create legal relations is required A court may conclude that an agreement is not enforceable even where consideration is present, because the parties lacked any intention to be legally bound (see, eg, Blue v Ashley). Did the parties intend to create legal relations—a question of fact Whether the parties possessed the necessary contractual intention is a factual matter, determined by the particular facts of the case. That said, the authorities accept that, in certain contexts, there is a presumption that such intention is missing. Proving the intention to create legal relations—express agreements In a typical commercial setting, it is generally unnecessary to prove that the parties to an express arrangement actually intended to create legal relations. In the absence of contrary evidence, the law presumes that they did. The burden of establishing that no legal effect was intended falls on the party asserting that position, and that burden is a heavy one (Edwards v Skyways, Kingswood v Anderson and Barbudev v Eurocom...

This Agreement is entered into on [ date ] Parties [ Insert name of party ] [ of OR a company incorporated in England and Wales under number [ insert registered number ] with its registered office at ] [ insert address ] (Party 1); and [ Insert name of party ] [ of OR a company incorporated in England and Wales under number [ insert registered number ] with its registered office at ] [ insert address ] (Party 2), each of Party 1 and Party 2 being a party and, together, the parties. BACKGROUND Party 1 supplies [ insert description of goods and/or services ]. Party 2 supplies [ insert description of goods and/or services ]. The parties intend to submit a Bid as a joint tender to the Customer in answer to the Invitation to Tender. The parties seek to state their obligations and manage their rights concerning the Bid and, if the...

Dated [ date ], this Agreement is entered into between the parties identified below. Parties [ insert name of Customer ] [ of OR a company incorporated in [ England and Wales ] with registered number [ insert registered number ] and whose registered office is at [ insert address ] ] (the Customer) [ insert name of Supplier ] [ of OR a company incorporated in [ England and Wales ] with registered number [ insert registered number ] and whose registered office is at [ insert address ] ] (the Supplier) Each of the Supplier and the Customer is a party; together, they are the parties. Background The Customer carries on the business of [ insert description ]. The Supplier conducts the business of providing [ insert description of services ] to other businesses. The parties have agreed that the Supplier will provide services to the Customer on the terms contained in this Agreement....

1 Introduction 1.1 Keeping corporate records in an orderly and dependable manner is vital to meet our statutory and regulatory duties, for example concerning data protection, taxation and employment. Doing so also lowers costs and mitigates the risks of holding superfluous information. 1.2 This records management policy guides staff in the correct handling of [ insert organisation name ]’s records. It explains: 1.2.1 the meaning of records; 1.2.2 the methods for classifying and storing records; 1.2.3 the retention periods for different categories of record; 1.2.4 the approach to disposing of records. 2 Responsibility and application 2.1 [ Insert name, department or role holder ] has overall responsibility for this policy. 2.2 This policy covers everyone working for us, including employees, temporary and agency workers, other contractors, interns and volunteers. All staff must read and follow it. 2.3 This policy is not a term of any employment contract and [ insert organisation name ] may add to...

Under WTR 1998, workers get 5.6 weeks’ annual leave each year: a basic entitlement of four weeks’ leave (20 days for a standard full‑time worker) implementing article 7 of the Working Time Directive (WTD) an additional 1.6 weeks’ leave (eight days for a standard full‑time worker) created by domestic law only Understanding this distinction is important because: European Court of Justice case law concerns the WTD alone, so it applies only to the basic four weeks’ paid leave holiday pay is calculated differently for: the basic four weeks, and the additional 1.6 weeks The general rules as to the right to carry forward accrued holiday entitlement are that: the basic four weeks must be taken in the leave year earned and cannot be carried over (though an employer may choose to allow it) a relevant agreement may allow the additional 1.6...

Form LTBT1 Form LTBT1 is prescribed by the Regulatory Reform (Business Tenancies) (England and Wales) Order 2003, SI 2003/3096 (the Order). Where the parties intend to contract out of, or exclude, sections 24–28 of the Landlord and Tenant Act 1954 (LTA 1954), the Order stipulates that particular steps must be completed before any such agreement is concluded. Landlords frequently seek the flexibility of a contracted‑out lease, as it allows the tenancy to end on expiry of the term without the tenant acquiring a right to a new lease. Under the LTA 1954, the former position required court approval for a contracted‑out arrangement (the Pre‑2004 Procedure). The Order replaced that regime with a new process that obliges the landlord to serve a warning notice in, or in a form substantially similar to, that set out in SI 2003/3096. This notice must be given before the lease is granted or, if the parties propose to enter into an agreement for lease, before that agreement is made, because the tenant must receive...

Statutory minimum notice For an overview of the statutory entitlement to a minimum notice period under the Employment Rights Act 1996 (ERA 1996), refer to Practice Note: Statutory minimum notice. The right to statutory notice in ERA 1996, s 86(1)–(2), prescribes the length of notice needed to end the employment contract of an individual who has been employed continuously for one month or more. For this context, a ‘contract of employment’ includes a contract of service or apprenticeship, whether expressly (orally or in writing) or implied...