Deleted Words, Prior Negotiations and Contract Interpretation

Abstract:     
This article discusses a line of cases that hitherto has not featured in the debate on the contentious issue, yet to be finally resolved in New Zealand, whether evidence of prior negotiations is admissible as an aid to the interpretation of a written contract. These cases concern the question whether words that have been deleted from a written contract prior to its execution are a legitimate aid to the interpretation of the remaining words of the contract. The author argues that his analysis of the often conflicting cases demonstrates the incoherence and lack of transparency in the current law of contract interpretation and adds further weight to the arguments for jettisoning the exclusionary rule.

Number of Pages in PDF File: 26

Keywords: contract, interpretation, prior negotiations

JEL Classification: K12

Accepted Paper Series