Overview

"Reasonable endeavours", "best endeavours" and "all reasonable endeavours" undertakings are commonly found in all types of commercial contracts and are frequently subject to negotiation. However, despite their ubiquitous use, the actual meaning of these expressions, and the extent of the obligations they impose, is not entirely clear. In addition, the case law creates a somewhat confusing picture.

Whilst not entirely eradicating the uncertainty in this area, the recent decision of the High Court in CPC Group Limited v Qatari Diar Real Estate Investment Company [2010] EWHC 1535 (Ch) offers some clarification and provides a salutary lesson that parties should carefully consider the extent of the "endeavours" obligations they want to impose. In this report, Herbert Smith summarises the current state of the law in this area.

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