2,051
edits
Changes
From DMC
no edit summary
The additional twist in this instance is that, even if a “recap” has been agreed in principle, the “lifting” of an approval “subject”, which may cause the “recap” to become binding, may itself be subject to the fulfilment of another pre-condition.
As such, in this case there was a need to agree to “all terms”, following the review of a document incorporated by the “recap”, as another pre-condition, with the result that TMLPL’s TMLPL purporting to “lift” the CMA “subject” was of no effect.
Given the above, if a party is desirous of achieving a binding contract at the earliest possible time, simply obtaining the agreement of the other party to forgo its own approval “subjects” – Owners’ BOD subject in this case (which the prospective charterers had, incorrectly, considered to be enough to achieve their goal) – may turn out to be insufficient.
