How does the doctrine of business efficacy impact the interpretation of contracts?
A) by permitting judges to strike out contractual terms that are commercially unreasonable
B) by permitting judges to imply terms necessary to make the contract workable
C) by permitting the parties to vary the wording of their contract to suit changing circumstances
D) by permitting the parties to ignore contractual terms that are commercially unreasonable

Question

Quizplus · Accepted Answer

The doctrine of business efficacy is a legal principle that allows judges to imply terms into a contract to ensure it is workable and effective, assuming those terms are necessary to give business efficacy to the contract and are so obvious that it goes without saying. This doctrine does not allow judges to strike out terms, nor does it permit parties to vary or ignore terms on the basis of commercial reasonableness.

How Does the Doctrine of Business Efficacy Impact the Interpretation