Paul v Mobil Oil NZ Ltd - [1992] 3 NZLR 194

Contract — Interpretation — Owner-driver contract — Clause allowing termination if contractor convicted of offence involving drunkenness which materially affects discharge of obligations — Whether conviction of one of the two contractors sufficient — Whether conviction for excess breath alcohol amounted to "drunkenness" - Whether discharge of obligations materially affected hirer's entitlement to terminate.

Contract — Cancellation — Procedural fairness — Implied terms — Whether owner-driver contract included implied term that hirer would observe procedural fairness when terminating — Whether necessary for business efficacy — Whether fairness was observed.