ARTICLE
21 January 2025

The Binding Nature Of Court Agreements In Court Disputes

Phoebus, Christos Clerides & Associates LLC (Clerides Legal)

Contributor

Phoebus, Christos Clerides & Associates LLC is a leading Cyprus-based law firm founded in 1950 by Phoebus Clerides, former Minister of Justice and Member of Parliament. His son, Dr. Christos Clerides—graduate of King’s College London and former MP, National Council member, and Cyprus Bar Association President—later led the firm. Now under the third generation—Phoebe Cleridou, Alexandros Clerides, and Constantinos Clerides—the firm upholds its legacy of excellence, specialising in litigation and dispute resolution. For over 75 years, it has represented clients in complex cases across all levels of Cypriot courts. Its practice spans civil, commercial, constitutional, administrative, criminal, and human rights law. The firm also advises on corporate, commercial, contractual, real estate, and banking matters with a focus on dispute prevention. With 16 experienced legal professionals, the firm combines tradition with a client-focused approach, earning a strong reputation for advocacy, integrity, and legal precision.
In legal disputes, particularly in the realm of construction, agreements made before a court carry significant weight.
Cyprus Litigation, Mediation & Arbitration

Introduction In legal disputes, particularly in the realm of construction, agreements made before a court carry significant weight. These agreements, often crafted to streamline dispute resolution, are legally binding and enforceable. Understanding this principle is critical for any party involved in litigation, as the commitments made before the court can shape the outcome of the case and have long-lasting consequences.

Legal Framework Under the law, agreements reached between disputing parties during court proceedings are recognized as binding contracts. These agreements are not merely procedural formalities but carry substantive legal force. Courts uphold these agreements as they reflect the parties' intentions to resolve their differences without the need for extended litigation. Importantly, once such an agreement is recorded, a party cannot unilaterally alter its terms without court approval or mutual consent.

Case Example: Binding Agreements in Practice A recent case involving a construction dispute highlighted the importance of pre-court agreements. The parties had initially agreed to appoint an independent expert to resolve issues of defective work and compliance with contractual obligations. This agreement, recorded in the court proceedings, was later contested by one party. First instance court did not take into account the parties' agreement and tried the case ignoring it. However, the appellate court reaffirmed the binding nature of the agreement, emphasizing that such commitments, once made, must be honored unless there is evidence of duress or fraud. First instance court decision was overturned.

Key Takeaways to Consider:

  1. Precision Matters: Ensure that any agreement presented to the court accurately reflects your intentions and understanding.
  2. Seek Legal Advice: Always consult with your lawyer before entering into any agreement during court proceedings to fully understand its implications.
  3. Irrevocability: Recognize that once an agreement is recorded, it becomes binding and enforceable.

For any inquiries or further information about the legal topics discussed, please consult a legal professional or reach out to your trusted advisor. This article is intended for informational purposes only and does not constitute legal advice.

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