MP Water Pty Ltd in its capacity as Trustee for the MP Water Trust v Veolia Water Australia Pty Ltd

(2022) 399 ALR 184; [2022] NSWCA 127

NSW Court of Appeal

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Interrogate

Catchwords

1. Contract
2. › Construction of commercial contracts
3. › Step-in rights clause
4. › Services provider agreement for water treatment facility
5. › Whether 'assist' obligation authorises principal to direct subcontractor to operate facility
6. › Whether direction to operate facility constitutes taking 'possession, management and control'
1. Contract
2. › Construction of commercial contracts
3. › Definition of 'Facility'
4. › Whether facility had come into existence as condition precedent to exercise of step-in rights
5. › Use of future tense in contractual definition
6. › Whether construction would subvert contractual regime for commencement of obligations

Quick Take

An obligation to 'assist wherever and however possible' in step-in rights clauses may extend to operating the facility at the principal's direction, not merely providing ancillary support.