Implied Covenant of Good Faith vs. Express Contract Terms on Termination
Synthèse Legislator
Généré par l'IAA dispute arose regarding whether a non-statutory, implied covenant of good faith and fair dealing could be used to modify the clear terms of a written agreement, specifically concerning the termination of that agreement. The court reasoned that when a contract's terms are unambiguous and fully integrated, the implied covenant of good faith and fair dealing cannot be invoked to override or contradict those express terms; such a covenant is meant only to prevent one party from acting in a way that deprives the other of the benefits of the contract, not to rewrite the contract's explicit provisions regarding termination rights.
Regeste Legislator
Généré par l'IAArt. 66 al. 1 LTF, Art. 68 al. 2 LTF; Implied Covenant of Good Faith vs. Express Contract Terms on Termination: The court reasoned that when a contract's terms are unambiguous and fully integrated, the implied covenant of good faith and fair dealing cannot be invoked to override or contradict those express terms; such a covenant is meant only to prevent one party from acting in a way that deprives the other of the benefits of the contract, not to rewrite the contract's explicit provisions regarding termination rights.
Mots-clés
Généré par l'IADispositions légales citées
Généré par l'IADécisions connexes
Généré par l'IAQuestions juridiques clés extraites par Legislator
Généré par l'IACited in the dispositive to rule on the costs of the appeal proceedings.
Cited in the dispositive to rule on the costs regarding the third respondent.
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