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Abstract

In 1992, the NSW Supreme Court’s decision in Renard Constructions (ME) Pty Ltd v Minister for Public Works (Renard) enlivened a controversial principle: that a duty of good faith could in some circumstances be implied into a contract. Barely a decade later, with the decision in Overlook Management BV v Foxtel Management Pty Ltd (Overlook), the orthodox judicial view was that the duty of good faith was implied into a certain class of contracts as a matter of law. During this rapid development there were occasional judicial dissents, but without sufficient consistency or volume to be viewed as an authoritative alternative. At the head of the line of cases born of Renard, Overlook remains the clearest and furthest-reaching statement of law on the implication of a duty of good faith.

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