
High Court provides further guidance on implied terms under English law
In the shipping and offshore industry, guarantees are frequently given as security for a legal promise for performance of a separate or primary contract. However, as guarantees are themselves a form of security, do they also contain an implied term that security cannot be sought for breaches of their provisions? That question was recently answered by the High Court in CVLC Three Carrier Corp v Arab Maritime Petroleum Transport Company [2021] EWHC 551 (Comm).