Not up to spec? Rules of contractual interpretation for inconsistent performance obligations in IP agreements

The UK Supreme Court recently found a contractor liable when performing obligations in line with an agreed standard which subsequently was found to be incorrect (MT Højgaard v E.ON [2017] UKSC 59). The principles are applicable for agreements containing multiple performance obligations where some of those obligations are tied to agreed standards, specifications or designs, as is typical for intellectual property (IP) related agreements.

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