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Australia Leading Case implied terms

BP Refinery (Westernport) Pty Ltd v Shire of Hastings

(1977) 180 CLR 266
JurisdictionAustralia
CourtPrivy Council (on appeal from Victoria, Australia)
Year1977
StatusPersuasive authority

Summary

Privy Council laid down the five-part test for implying terms into formal contracts: reasonable and equitable, necessary for business efficacy, obvious, clearly expressed, and not contradicting express terms.

Key Principle

implication of terms in formal contracts; the five-part test: reasonable and equitable, necessary for efficacy, obvious, clear expression, no contradiction

Area of Law

contract

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