Bad grammar does not necessarily render a contract ambiguous.
That was the sensible conclusion of this United States judgment.
Hall sued her former employer, Rag-O-Rama when it fired her less than a year after promoting her to an area-manager position. A poorly drafted sentence in the employment contract recorded:
“Hall is reminded of the
Ambiguous insurance contracts may be construed against the insurer. In case of doubt and where there is ambiguity a contract, including an insurance policy, may be construed against the contracting party by whom it was formulated.
This is generally known as the contra proferentem rule (see for example, Pereira v Marine and Trade Insurance Co
Policies like any contract are not rendered uncertain because the parties disagree on their meaning.
The court in Expectio Properties (Pty) Ltd v Mutual & Federal Insurance Company Limited was called upon to decide whether a dispute relating to the interpretation of an insurance contract between Mutual & Federal and the liquidators of Expectio Properties