Battle of Forms: Butler Machine Tool Company Limited v. Ex-Cell-O Corporation

Abstract

All business-to-business contracts have now come to be done on standard contract terms. Every company has its General Conditions of Contract on which it would deal with its customers. Business parties negotiate, converge and do business with each other. However, if a dispute arises, both the parties claim that there is a contract between them. But both also claim that the contract is on its terms. The claim is important for each party sets terms favourable to itself. This is called the ‘battle of forms’. The Butler Machine Tool Case of the Court of Appeal explores the rules of this battle.