UK contract law is often misunderstood — mainly because there’s no such thing.
Occasionally, someone sends me a contract to sign when they’re supplying me with goods or services. It’s in my nature to read them carefully — and it’s quite rare I sign them as they are drafted. Over the years, I’ve spotted a consistent pattern in why I don’t.
Very often, the contracts have been downloaded from a US template site. The user has simply adapted it (as the licence permits) and swapped in “UK” as the jurisdiction.
The rest of the document tends to be vague — which is understandable, as the template author couldn’t know exactly what service was being offered. But what’s missing is more worrying: data sharing, data privacy, and a clear way to identify what is included within the price and what is not.
That vagueness can lead to all sorts of unnecessary conflict. But the “jurisdiction” clause is the real kicker. Why? Because there is no such thing as “UK contract law.” There is no “UK court” that can determine disputes.
How UK contract law really works in practice
So what does this mean when you’re looking at real contracts? In a nutshell:
- Three systems, not one
The United Kingdom has three separate legal systems:- England & Wales
- Scotland
- Northern Ireland
Each has its own courts, procedures, and rules. And let’s not get started on the Channel Islands and Isle of Man!
- Pick the wrong one and you’re stuck
If a contract says “UK law applies,” no court has jurisdiction. That means wasted time, wasted money, and uncertainty about where — or even whether — you can enforce your rights. - Even small businesses feel the pain
Big firms like Pinsent Masons warn that unclear jurisdiction clauses add an “additional layer of cost to the litigation process” (see their guide). But their clients are multinationals with deep pockets. For freelancers and small business owners, the same mistake can be devastating. I’ve seen people spend more on lawyers arguing about where a dispute should be heard than on the actual issue in dispute.
And here’s the kicker: it takes long enough to get a case into court these days, without adding extra complications by writing “UK law” into your contract. Why would you add a further delay to what is often about getting yourself paid? Or is delay in getting your money back for poor performance something you crave?
You could spend time and money getting the mess unravelled and get an expert to explain why you meant one thing but wrote down another. But why make things more difficult than they need to be?
We see similar problems with clients working in the USA who randomly contract to US law, when they should be sorting out the right State – I could go on. But guessing how a legal system works can be an unreliable way to get your contracts organised.
If you’re not using a KoffeeKlatch contract, do yourself a favour – have a quick look – which legal system did you pick? Or did you simply not pick any? That’s a whole problem on its own. Even more so if you and your client are at different ends of the planet.
At KoffeeKlatch, we give you the choice in your contracts, with videos to explain which jurisdiction fits your business. That way you understand what you’re signing — and you can avoid falling into the “UK law” trap that so many copied templates create.
Want contracts that actually work in the real UK courts? Our UK-ready templates give you clarity and confidence, with plain-English guidance to help you understand exactly what you’re signing. You don’t have to spend time trying to figure out what you should cut and paste, what you need to change, its all ready for you.
