ABSTRACT

This chapter looks at the construction partnering case law, then at the wider contract law picture. German law recognises an established doctrine of good faith, contained in sections 157 to 242 of the German Civil Code. The United States, influenced by the German model, has a well-established doctrine of good faith, again recognised by its legislature. In jurisdictions, notably the United States and Germany, the concept of “good faith” has become an integral part of the legal system. In terms of other construction case law relevant to good faith, it is worth mentioning Balfour Beatty v. Docklands Light Railway 78 BLR 42. Thiess gives an illustration of how restrictive the courts can be in interpreting an express clause of good faith. The wider sphere of general contract law gives instances of good faith being successfully raised and argued. The Privy Council has also had occasion to apply principles of good faith, albeit in the other contexts, such as family law.