{"id":6072,"date":"2026-02-01T08:12:15","date_gmt":"2026-02-01T00:12:15","guid":{"rendered":"https:\/\/yhalaw.com.my\/?p=6072"},"modified":"2026-02-01T08:12:37","modified_gmt":"2026-02-01T00:12:37","slug":"not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause","status":"publish","type":"post","link":"https:\/\/yhalaw.com.my\/zh\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/","title":{"rendered":"NOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE"},"content":{"rendered":"\n

1. Summary and Facts:<\/strong>
In KSY Juice Blends UK Ltd v Citrosuco GmbH [2025] 2 Lloyd\u2019s Rep 581, KSY and Citrosuco entered into a three-year supply contract in 2018 for wesos, a residual orange product. Under the contract, Citrosuco agreed to purchase 1,200 metric tonnes per year: 400 mt at a fixed price, and the remaining 800 mt at an \u201copen price\u201d to be fixed later under a pricing mechanism based on \u201cfree trucks\u201d, where the actual quantity delivered could vary depending on the market price. Over time, Citrosuco\u2019s demand for wesos fell, and it refused to take delivery beyond part of the fixed-price quantity. KSY treated this refusal as a breach, terminated the contract, and claimed damages on the basis that the contract was still legally binding and enforceable despite the open-price element.<\/p>\n\n\n\n

English High Court held that the price for the 800 mt was left open with no implied term as to a reasonable or market price, rendering that portion of the contract unenforceable.<\/p>\n\n\n\n

KSY Juice Blend UK Ltd appealed.<\/p>\n\n\n\n

2. Legal Issues:<\/strong>
\u2022 Whether Section 8(2) of the Sale of Goods Act 1979 apply.
\u2022 Whether the court can imply a term that the price would be a reasonable or market price.
\u2022 Whether the agreement for the 800 mt at an open price was unenforceable as an agreement to agree.<\/p>\n\n\n\n

3. Court\u2019s Findings:<\/strong>
\u2022 The Court of Appeal allowed the appeal.
\u2022 A term should be implied that, if the parties failed to agree on price, it would be a reasonable or marketplace.
\u2022 Even though the wesos was not fully defined, its price roughly mirrored 70% of the FCOJ market, making it sufficiently determinable.
\u2022 The contract clearly showed an intention to be binding, shown by the parties\u2019 prior dealings, partial performance and a detailed contractual framework.
\u2022 Section 8(2) SOGA 1979 does not bar the implication of such a term but the purpose is to uphold contracts and not invalidate them.<\/p>\n\n\n\n

4. Practical Implications:<\/strong>
This judgment affirms the several principle of laws including:
\u2022 Commercial contracts with open price clauses can still be enforceable.
\u2022 Courts may imply a reasonable or market price even where parties initially intented to negotiate.
\u2022 Reinforces a modern, flexible approach to contractual certainty in long-term supply agreements.<\/p>\n","protected":false},"excerpt":{"rendered":"

In KSY Juice Blends UK Ltd v Citrosuco GmbH [2025] 2 Lloyd\u2019s Rep 581, the UK Court of Appeal held that a long-term supply contract was not unenforceable merely because part of the price was stated as \u201copen price to be fixed\u201d. The Court implied a term that, in the absence of agreement, the price would be a reasonable or market price, noting that the product\u2019s value could be objectively benchmarked against the market price of frozen concentrated orange juice. Emphasising that courts should preserve commercial bargains rather than destroy them, the decision confirms that section 8(2) of the Sale of Goods Act 1979 operates as a saving provision, not a bar to enforceability.<\/p>\n","protected":false},"author":1,"featured_media":6073,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1568],"tags":[3764,3763,3762,3600],"class_list":["post-6072","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-contract-law","tag-commercial-contracts","tag-implied-terms","tag-open-price-contracts","tag-sale-of-goods-act"],"yoast_head":"\nNOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE | Yew Huoi, How & Associates | Leading Malaysia Law Firm<\/title>\n<meta name=\"description\" content=\"In KSY Juice Blends UK Ltd v Citrosuco GmbH [2025] 2 Lloyd\u2019s Rep 581, the UK Court of Appeal held that a long-term supply contract was not unenforceable merely because part of the price was stated as \u201copen price to be fixed\u201d. The Court implied a term that, in the absence of agreement, the price would be a reasonable or market price, noting that the product\u2019s value could be objectively benchmarked against the market price of frozen concentrated orange juice. Emphasising that courts should preserve commercial bargains rather than destroy them, the decision confirms that section 8(2) of the Sale of Goods Act 1979 operates as a saving provision, not a bar to enforceability.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/yhalaw.com.my\/zh\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/\" \/>\n<meta property=\"og:locale\" content=\"zh_TW\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE | Yew Huoi, How & Associates | Leading Malaysia Law Firm\" \/>\n<meta property=\"og:description\" content=\"In KSY Juice Blends UK Ltd v Citrosuco GmbH [2025] 2 Lloyd\u2019s Rep 581, the UK Court of Appeal held that a long-term supply contract was not unenforceable merely because part of the price was stated as \u201copen price to be fixed\u201d. 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Emphasising that courts should preserve commercial bargains rather than destroy them, the decision confirms that section 8(2) of the Sale of Goods Act 1979 operates as a saving provision, not a bar to enforceability.","og_url":"https:\/\/yhalaw.com.my\/zh\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/","og_site_name":"Yew Huoi, How & Associates | Leading Malaysia Law Firm","article_publisher":"https:\/\/www.facebook.com\/yhalaw","article_published_time":"2026-02-01T00:12:15+00:00","article_modified_time":"2026-02-01T00:12:37+00:00","og_image":[{"width":1200,"height":630,"url":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2026\/02\/notagree.jpg","type":"image\/jpeg"}],"author":"YHA Admin","twitter_card":"summary_large_image","twitter_misc":{"\u4f5c\u8005:":"YHA Admin","\u9810\u4f30\u95b1\u8b80\u6642\u9593":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#article","isPartOf":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/"},"author":{"name":"YHA Admin","@id":"https:\/\/yhalaw.com.my\/#\/schema\/person\/f778c60834a29c5ec215ab62d3207bef"},"headline":"NOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE","datePublished":"2026-02-01T00:12:15+00:00","dateModified":"2026-02-01T00:12:37+00:00","mainEntityOfPage":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/"},"wordCount":370,"publisher":{"@id":"https:\/\/yhalaw.com.my\/#organization"},"image":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#primaryimage"},"thumbnailUrl":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2026\/02\/notagree.jpg","keywords":["commercial contracts","implied terms","open price contracts","Sale of Goods Act"],"articleSection":["Contract Law"],"inLanguage":"zh-TW"},{"@type":"WebPage","@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/","url":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/","name":"NOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE | Yew Huoi, How & Associates | Leading Malaysia Law Firm","isPartOf":{"@id":"https:\/\/yhalaw.com.my\/#website"},"primaryImageOfPage":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#primaryimage"},"image":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#primaryimage"},"thumbnailUrl":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2026\/02\/notagree.jpg","datePublished":"2026-02-01T00:12:15+00:00","dateModified":"2026-02-01T00:12:37+00:00","description":"In KSY Juice Blends UK Ltd v Citrosuco GmbH [2025] 2 Lloyd\u2019s Rep 581, the UK Court of Appeal held that a long-term supply contract was not unenforceable merely because part of the price was stated as \u201copen price to be fixed\u201d. The Court implied a term that, in the absence of agreement, the price would be a reasonable or market price, noting that the product\u2019s value could be objectively benchmarked against the market price of frozen concentrated orange juice. Emphasising that courts should preserve commercial bargains rather than destroy them, the decision confirms that section 8(2) of the Sale of Goods Act 1979 operates as a saving provision, not a bar to enforceability.","breadcrumb":{"@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#breadcrumb"},"inLanguage":"zh-TW","potentialAction":[{"@type":"ReadAction","target":["https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/"]}]},{"@type":"ImageObject","inLanguage":"zh-TW","@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#primaryimage","url":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2026\/02\/notagree.jpg","contentUrl":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2026\/02\/notagree.jpg","width":1200,"height":630},{"@type":"BreadcrumbList","@id":"https:\/\/yhalaw.com.my\/not-an-agreement-to-agree-english-court-of-appeal-saves-long-term-supply-contract-despite-open-price-clause\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/yhalaw.com.my\/"},{"@type":"ListItem","position":2,"name":"NOT AN \u2018AGREEMENT TO AGREE\u2019: ENGLISH COURT OF APPEAL SAVES LONG-TERM SUPPLY CONTRACT DESPITE OPEN PRICE CLAUSE"}]},{"@type":"WebSite","@id":"https:\/\/yhalaw.com.my\/#website","url":"https:\/\/yhalaw.com.my\/","name":"Yew Huoi, How & Associates | Leading Malaysia Law Firm","description":"YHA Law Firm is a leading law firm in Malaysia.Specialises in handling Civil,Maritime,Shipping Matters,Company Law,Family Law,Real Estate and many more","publisher":{"@id":"https:\/\/yhalaw.com.my\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/yhalaw.com.my\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"zh-TW"},{"@type":"Organization","@id":"https:\/\/yhalaw.com.my\/#organization","name":"Yew Huoi, How & Associates Law Firm | yhalaw.com.my","url":"https:\/\/yhalaw.com.my\/","logo":{"@type":"ImageObject","inLanguage":"zh-TW","@id":"https:\/\/yhalaw.com.my\/#\/schema\/logo\/image\/","url":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2020\/06\/YHA-Law-Logo-White-BG-New@2x-e1668772571446.png","contentUrl":"https:\/\/yhalaw.com.my\/wp-content\/uploads\/2020\/06\/YHA-Law-Logo-White-BG-New@2x-e1668772571446.png","width":2080,"height":369,"caption":"Yew Huoi, How & Associates Law Firm | yhalaw.com.my"},"image":{"@id":"https:\/\/yhalaw.com.my\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/yhalaw"]},{"@type":"Person","@id":"https:\/\/yhalaw.com.my\/#\/schema\/person\/f778c60834a29c5ec215ab62d3207bef","name":"YHA Admin","sameAs":["https:\/\/yhalaw.com.my"]}]}},"_links":{"self":[{"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/posts\/6072"}],"collection":[{"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/comments?post=6072"}],"version-history":[{"count":1,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/posts\/6072\/revisions"}],"predecessor-version":[{"id":6074,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/posts\/6072\/revisions\/6074"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/media\/6073"}],"wp:attachment":[{"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/media?parent=6072"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/categories?post=6072"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/yhalaw.com.my\/zh\/wp-json\/wp\/v2\/tags?post=6072"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}