Relational Contract Theory, the Relevance of Actual Performance in Contract Interpretation and its Application to Employment Contracts in the United Kingdom and Australia

This article considers the possible utility of relational contract theory to justify courts taking into account actual performance in circumstances where there is a dispute between parties to a contract. This is in light of a recent High Court of Australia decision which generally favours the form in which the parties' contractual obligations appeared, rather than consider evidence of how the parties behaved in relation to contract performance.