The case of Bellas v Powers [2023] NSW SC involved a dispute over the enforceability of a clause that imposed a higher interest rate on a loan facility in the event of default. The court held that the clause was a penalty as it was extravagant and unconscionable in comparison with the greatest loss that could be proved to have followed from the breach. The term was therefore deemed void and unenforceable.

In 2016 the Australian government introduced a new law that will come into effect on 9 November 2023 to protect small business from unfair terms in business-to-business standard form contracts. Are you are compliant?

Holman Webb Lawyers is expanding its capability in several teams to support ongoing growth, announcing the addition of three partners across our Sydney and Melbourne offices.