Case Study Cole Vs Starlink
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Coles did not need to give any reason for this decision and Starlink disputed that an implied duty of good faith meant that Coles had breeched their obligation to Starlink by failing to advise them of the allegations that had been made against Starlink under the specified dispute resolution clause, and to give Starlink the opportunity to correct the breech before discontinuing the contract.
Chief Justice Bergin compared the termination and dispute resolution provisions that had no reference to acting in good faith or any mention of the parties’ wish to maintain a business relationship after the fact.
Justice Bergin found the special condition allowed Coles the power to terminate the contract at their discretion and to keep any reasoning private.