High Court guidance on the penalty doctrine - the Honey Bees case
The recent Honey Bees case provides clarity on the way that penalties are being interpreted by the New Zealand courts.
- Overview of Honey Bees Preschool Limited v 127 Hobson Street Limited
- How are the New Zealand courts deciding whether a clause is really a penalty?
- How does the court determine the bargaining power of the parties?
- Lessons for the drafting of enforceable clauses: deterrence versus punishment
- Comparing the likely loss and the stipulated sum of damages clause
- What constitutes a legitimate interest which a payment obligation on breach is seeking to protect?
- What does a proportionate sum look like?
Contracting interpretation by the courts - what evidence will be considered?
What material relating to contractual terms and meaning can be admitted as evidence to help courts to interpret contracts?
- Parol and oral evidence of the parties' negotiations
- Post-contractual dealings or other evidence relating to the parties’ subjective interpretation
- Lessons from the courts – trends in admission of evidence
Chris Browne, Partner, Wilson Harle
Panel: Risks and opportunities of blockchain and smart contracts
Blockchain is still a work in progress from a legal and operational perspective. This thought-provoking panel will discuss the enforceability and risks of smart contracts.
- Know your customer checks and blockchain: complying with anti-money laundering and counter terrorism financing (AML/CTF) laws
- What are the risks of blockchain repeating and compounding errors or fraud?
- Does blockchain have mechanisms to detect infiltrators?
- How powerful is private key cryptography as an ownership tool?
- How easy is it to detect and modify errors in blockchain?
- Problems with legal enforceability with a “permissionless” distributed ledger
- Dispute resolution mechanisms relating to distributed ledger technology
Partner, Russell McVeagh