Tuesday, August 22, 2006
Few issues in contract law create more problems than the status of "letters of intent." Frequently, prospective parties to some undertaking sign a document that indicates their present intent to enter into a deal, but that also indicates that neither party is bound to anything. When the deal falls through, one or the other of the parties may sue.
In a recent client advisory, Letters of Intent: Principles and Pitfalls, Matthew Needham-Laing of London's Fenwick Elliott LLP, offers some thoughts from a U.K. perspective.