Tag archives: Tacit agreement

Importing a tacit term into a contract

Where a non-variation clause and a whole agreement clause were included in a comprehensive contract dealing in detail with the subject matter between the parties, the court refused to import a tacit term into the contract. A tacit term is an unexpressed provision in the contract which derives from the common intention of the parties … Continue reading

Tacit agreement to replace an agreement is not a variation

Our law recognises that an agreement can be concluded tacitly to replace a previous agreement and a non-variation clause does not preclude the parties from doing so. This principle was recently confirmed by the Supreme Court of Appeal. In Ocean Echo Properties v Old Mutual the parties were contracting under a lease. The landlord sued … Continue reading
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