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Contract Law

The Battle of the Forms

Facts
Question
Analysis
Verdict
Scenario

BuildCo sends SupplyCo a purchase order for 500 steel panels at £40 each, attaching BuildCo's standard terms which include a dispute resolution clause requiring arbitration. SupplyCo responds with an order acknowledgement confirming the quantity and price but attaching SupplyCo's own standard terms, which include a jurisdiction clause submitting disputes to the courts of England and Wales. No further communication takes place. SupplyCo delivers the panels. BuildCo accepts delivery and pays without comment. A dispute later arises. BuildCo claims the arbitration clause applies. SupplyCo claims the court jurisdiction clause applies.

What is the legal effect of BuildCo's purchase order?

Answer options for step 1