Illegal performance does not invalidate contract

Cohen and another v Cebrian (UK) Ltd CA TLR 27 November

Where a contract was lawful at its inception it would not become illegal and unenforceable by virtue of any illegality in its performance. Accordingly, a contract to pay sales commission to an employee did not become illegal when it was agreed that part of the commission would be paid to the employee’s wife in order to save tax on the total of the commission.