Multiple Choice
What did Leggatt J say about the types of contracts into which good faith could be implied in Yam Seng Pte Ltd v International Trade Corp Ltd (2013) ?
A) The court should imply a term of good faith into all contracts.
B) Good faith obligations are more likely to be required to give business efficacy to the parties' arrangements in longer term contracts requiring commitment and cooperation.
C) Good faith duties should not be implied into contracts due to the risk of contradicting the parties' intentions.
Correct Answer:
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