News: Contract Law
Contract law considerations: Concern expressed over Olympic arrangements
14 August 2008
Although Transport for London underlined the benefits of contract law training when it invoked an 'escape' clause in its arrangement with Transys - the Oyster card manager - doubts have been raised about the possible consequences for 2012.
It has been suggested that the premature ending of the 100 million-per-year contract will actually hinder the capital's ability to provide an efficient and effective public transport system for the Olympic Games.
London mayor Boris Johnson maintains that a contract with an alternative organisation will be arranged so as to facilitate cheaper and less accident-prone ticketing for tubes, buses and the Docklands Light Railway.
Referring to previous plans to create a 'cashless' Games, however, Liberal Democrat transport spokesman Norman Baker told The Observer: "There is a genuine concern as to the impact on the Olympics, given the work I know was going on with regard to integrated ticketing for events and travel."
According to the newspaper, the breaking of the Transys contract from August 2010 leaves potential future suppliers with little chance of synchronising the necessary technology in time.
The consortium also owns the Oyster brand, throwing up a further contract law consideration.
Initiated in 1998, its contract with Transport for London was scheduled to run for another seven years. 
