Notice requirements and procedural compliance
Notice provisions are often among the most overlooked elements of commercial contracts. However, they can play a critical role in determining whether contractual protections are available.
Many contractual rights, including force majeure relief, termination rights and claims for breach, require the affected party to provide formal notice to the counterparty.
These notice provisions typically specify:
- the timeframe within which notice must be given
- the method by which notice must be delivered
- the information that must be included in the notice
Failure to comply with these requirements can sometimes prevent a party from relying on contractual protections that might otherwise be available.
For example, some contracts require notice to be delivered within a defined number of days after a triggering event occurs. Others specify that notice must be delivered to particular individuals or addresses.
In practice, notice provisions may become particularly relevant where operational disruptions occur and contractual obligations may be affected.
Businesses may therefore wish to review:
- whether notice obligations have been triggered
- whether relevant notices have been issued in accordance with contractual requirements
- whether internal processes exist to track notice obligations
Ensuring that notice requirements are understood and properly managed can significantly reduce contractual risk.
CVML regularly assists clients in reviewing contractual notice provisions and ensuring that procedural requirements are satisfied when contractual issues arise.
If you or your organisation would like to discuss any aspects of this guidance note further, please reach out to your usual CVML contact, or email:
Naji Khairallah, Partner, CVML (n.khairallah@cvml.ae)