The ties that bind: When 'subject to contract' backfires

By Victoria Peckett2019-11-28T13:41:00

Adding tags such as ‘subject to contract’ can fail to have the desired effect – and might even backfire

Tags such as “without prejudice” and “subject to contract” are often added by parties and their advisers to correspondence and contract drafts without any detailed consideration of what they are trying to achieve by doing so. Sometimes the parties fall out about the content of such correspondence and drafts, and the effect of those tags must then be considered by the courts.

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