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Abstract

The fundamental principle for an outsourcing agreement is proper allocation of responsibilities and obligations to meet stated performance standards during the term of the outsourcing agreement. However, it is likely that the service provider may not meet all its obligations. The chapter discusses the various remedies that can be included in the contract, such as liquidated damages and credits to motivate and compensate for non performance.

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References

  1. E.g. UCTA 1977 (UK) and the EU Unfair Contract Terms Directive (93/13/EEC)-Member States must make sure that effective means exist under national law to enforce these rights and that such terms are no longer used by businesses. All Member States were required to implement the Directive into their national law by 31 December 1994.

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  2. Banco de Portugal v Waterlow [1932] AC 452 and British Westinghouse v Underground Electric Railways [1912] AC 673.

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  3. Jobson v Johnson [1989] 1 All ER 621.

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  4. Rookes v. Barnard [1964] AC 1129 as per Lord Devlin at page 407.; Cassell & Co. Ltd v. Broome [1972] AC 1027.

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  5. Y.China Rattayya v. Donepudi Venkataramayya, AIR 1959 AP 551.

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© 2007 Springer-Verlag Berlin Heidelberg

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(2007). Contract enforcement. In: Outsourcing to India — A Legal Handbook. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-540-72220-5_14

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