Case Reports

New South Wales Court of Appeal confirms that clauses requiring parties to negotiate in good faith are, in most circumstances, valid and enforceable

In United Group Rail Services Limited v Rail Corporation New South Wales [2009] NSWCA 177 (3 July 2009), the New South Wales Court of Appeal confronted the meaning of, and the circumstances in which, clauses requiring parties to negotiate in good faith will be enforceable.  Justice Allsop's interpretation of the phrase "genuine and good faith" is particularly noteworthy and is likely to have broader application in the interpretation of dispute resolution clauses in commercial contracts.