Tech & Legal Updates
Short, executive level legal and commercial updates for founders and leaders of scaling technology businesses.
Court reinforces limits on exclusion of core contractual liability
The High Court of England and Wales has reaffirmed that limitation clauses will be upheld where clearly drafted, but scrutinised where they attempt to exclude core obligations.
This directly impacts SaaS contracting strategy.
Commercially:
• liability cannot be fully displaced
• core service failure remains high exposure
Contractually:
• limitation clauses must be proportionate
• exclusions for fundamental breach face challenge
• drafting precision is critical
The court held that exclusion of liability for core performance may be unenforceable depending on context.
(Case law reference not recent, included for legal interpretation)
Source Allowed: High Court of England and Wales, published March 2026
Category: Contract Risk / Liability
Hashtags: #ContractLaw #UKCourts #Liability #CommercialLaw #SaaSContracts #RiskAllocation #CaseLaw
Date (Primary Source): March 2026
(Focus, Jurisdiction: Limitation of liability, UK)