If, for whatever reason, the previous agreement is not expressly included, this earlier agreement may, in certain circumstances, give rise to a legally binding obligation, even if the contract contains a full contractual clause. This is due to the Estoppel doctrine by convention, which was recently discussed under the comprehensive contractual clauses contained in Mears Ltd/Shoreline Housing Partnership Ltd3. In addition, the parties could usefully verify whether there is relevant pre-contract conduct between the parties or a use that could be excluded by a full contractual clause. Consider the scenario in which a long-term contract is renewed and the parties sign an “modified” or “replicated” agreement. If, during the performance of this contract, a recognized practice does not comply with its strict conditions (e.g. B billing after 30 days, if the contract says 14 days), but the amended contract is not amended to reflect this and remains in its original form, the parties have probably excluded their right to avail themselves of this prior conduct. Issuing invoices after 30 days would now constitute a breach of contract under the revised new agreement. Contracting parties must carefully consider the inclusion of a full contractual clause, both when entering into new contracts and when amending or amending existing contracts. However, each case must be carefully considered with the specific facts in mind. Courts have sometimes found, apparently at odds with the general rule, that a full clause in the contract (as opposed to a clear exclusion clause) could be used to exclude implied clauses.
“Each party acknowledges that at the time of the conclusion of this contract, it does not rely on any other statements, assurances or guarantees other than those expressly defined in this contract.” (a) If a written contract contains a clause indicating that the document contains all contractual clauses (“merger clause,” “full contractual clause”), prior statements, commitments or agreements that are not included in the document are not included in the contract. Questions about the effectiveness of whole contractual clauses are increasingly being raised in litigation, particularly in disputes related to long-term contracts such as joint ventures, long-term supply contracts, long-term financing agreements or amendments and/or extensions of such agreements or agreements in which the parties have had a long period of activity. First, such a clause does not prevent the parties from relying on “extrinsic” statements or documents in the contract, i.e.: