UK & Europe
Energy & Natural Resources
We are delighted to once again be sponsoring the biennial IADC Contracts & Risk Management Conference on 6 and 7 October 2020.
Held virtually this year, the event will explore pertinent issues affecting contracts and risk management within the oil & gas drilling industry. Speakers will report on market issues, contract provisions, new contract requirements and indemnification issues. We are pleased to announce that Clyde & Co Partners David Leckie and Mark Walsh we be presenting to the conference on the below topics.
The record-breaking USD 4 billion Airbus global settlement for bribery in January 2020 is the most recent example of huge penalties being imposed by regulators across the globe. Coupled with increasingly high penalties and enforcement action for breaches of sanctions, export compliance, HSE and a host of other regulatory issues, there has never been a time when such compliance issues have been more challenging for contract and commercial managers, negotiators and in-house counsel. Allegations of fraud and other regulatory breaches are increasingly being used as a basis for terminating contacts and/or challenging the enforceability the caps and indemnities. This presentation will provide a summary of recent global developments and explore the wide ranging and complex contractual and ethical issues which arise. It will also provide pointers to best practice in contract drafting to mitigate the risk of such challenges throughout the contractual chain.
This talk will look at English case law and the extent to which an arguably more literalist approach to contractual interpretation in recent years has impacted exclusion and indemnity provisions. In particular it will look at consequential loss exclusion and indemnity provisions, and a number of cases where a particularly black letter and expansive approach has been taken to the question of ‘loss of profits’ – even where the party seeking to rely upon the indemnity has repudiated the contract. It asks the question “how far will this degree of literalism run in the drilling world?” and posits some suggested approaches to drafting.