Climate clause

Avoiding Excessive Paperwork in Dispute Resolution

Toby's Clause

A contractual obligation between the parties stating that, in the event of a dispute, parties agree to settle it in a ‘green’ manner.

This is a climate clause

This clause brings climate considerations to your drafting. It is not yet net zero aligned. To align this clause with net zero, use our toolkit or join one of our events.

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Why use this?

This clause can be used in any commercial agreement and provides certainty that any dispute must be handled in a manner that reduces the use of paper. The clause also includes a commitment by both parties to offset emissions arising from any dispute and to consider how such dispute may be handled in a way that minimises greenhouse gas emissions.

Disclaimer - please read

The clauses on this website (and published in our Climate Contract Playbook) have been prepared in good faith on a pro bono basis and are free to download and use. The clauses have been drafted and edited by a variety of lawyers and, as such, the approaches to drafting may not conform to any particular drafting norms. We acknowledge this as a consequence of the collaborative drafting process.

The clauses on this website (and published in our Climate Contract Playbook) are provided on an ‘as is’ basis and without any representation or warranty as to accuracy or that the clauses will achieve the relevant climate goal or any other outcome.

This website (and the Climate Contract Playbook) do not comprise, constitute or provide personal, specific or individual recommendations or advice of any kind, and do not contain legal or financial advice. The clauses are precedents for legal professionals to use, amend and negotiate using their professional skill and judgement and at their own risk.

While care has been taken in the drafting of these clauses, neither The Chancery Lane Project nor any of its contributors owe a duty of care to any party in relation to their preparation and do not accept any liability for any errors or omissions, nor for any loss incurred by any person relying on or using these clauses or any other person. Users should use their own professional judgement in the application of these clauses to any particular circumstance or jurisdiction or seek independent legal advice.

At present, all the clauses are based on the laws of England and Wales. We encourage the conversion of these precedent clauses for use in other jurisdictions.

The clause

Additional Recital

(A) The parties have agreed to consider Climate Change Mitigation [or link to Emilia’s Protocols] as part of their discussions in the event of a dispute arising from this agreement.

 

Additional Definitions

Climate Change Mitigation means human intervention or efforts to reduce the sources or enhance the sinks of Greenhouse Gas emissions.

Electronic Bundles means a bundle of documents for use by the parties and court or tribunal (as required) in electronic format, with efforts made as far as possible to strive for legibility and a user-friendly format through the use of sequential pagination and bookmarks appropriate for each document.

Greenhouse Gases (GHGs) means the natural and anthropogenic gases which trap thermal radiation in the earth’s atmosphere and as specified in Annex A to the Kyoto Protocol to the United Nations Framework Convention on Climate Change (UNFCCC) [or otherwise specified by the UNFCCC at the date of this agreement].

Native Trees means those species of trees which, since the last ice age, have grown in the geographic area now called the [United Kingdom] and which are listed as native on the [Forestry Commission Website].

 

Additional Clauses

DISPUTE MANAGEMENT

1.1. In the event of any dispute arising in relation to this contract:

(a) all notices and communications between the parties will be sent by electronic means; and

(b) Electronic Bundles will be used to prepare for, and during, meetings or hearings.

1.2. The obligation at Clause 1.1 is subject to any party’s obligation to the contrary found in any relevant court or tribunal order, procedural rule, practice direction or court guide.

1.3. Where a paper bundle is used at any stage in a dispute, the parties must:

(a) use recycled paper, non-solvent-based printer ink and cardboard (non-plastic) tabs, dividers and folders; and

(b) subject to any legal obligations to retain copies, dispose of the bundle through secure recycling.

1.4. Each party will, within [one month] of resolution of any dispute or a relevant stage of a dispute, contribute towards Climate Change Mitigation by purchasing carbon offsets or planting Native Trees to offset their Greenhouse Gas emissions arising from the procedure to resolve the dispute, including those of lawyers, advisers and other third party consultants.

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