LAWS 205 - Removal of caveats and No caveat clauses.

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Can a 'no caveat' clause within a contract, be enforced by the courts? Why/Why not?

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In the case of Cash Feild the court held that a no caveat clause can be enforced if it's in a contract between two commercial entities.

This is because in such an agreement, the parties have equal bargaining powers, and so if they consent to that clause, then it is only reasonable for the courts to enforce such a provision.

However, in Landco, the court acknowledged that this priciple of law might be different if the parties had unequal bargaining power.

Moreover, in CashField, Ellias J stated that such a provison, is merley a factor, when the court is determing whether the caveat should be removed, and is not detrminative of the whole interlocking proceeding.

Front

Can a 'no-caveat' clause preclude the court   from sustaining a caveat? Why/why not?

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