Coronavirus (COVID-19): Force Majeure - An Act of War?

The Presidency of the United States, a very influential office, has described the fight against the Coronavirus (COVID-19) as a “war”: "I view the invisible enemy [coronavirus] as a war," he said. "I don't like how it got here, because it could have been stopped, but no, I view the invisible enemy like a war." If he can make that argument - perhaps you can use too.

By Osman Aboubakr

https://www.bbc.com/news/world-us-canada-52568405

The President of the United States, holding a very influential office, has described the fight against the Coronavirus (COVID-19) as a “war”: "I view the invisible enemy [coronavirus] as a war," he said. "I don't like how it got here, because it could have been stopped, but no, I view the invisible enemy like a war."

If he can make that argument - perhaps you can use it too.

Assuming you have no other stronger arguments, ask your General Counsel to check the Force Majeure clause in the contract at issue or the Force Majeure provision under the laws applicable to you - can you make an argument that you cannot perform the terms and conditions of your contract due to the effects on the economy arising from  the government in your jurisdiction waging a war against an “invisible enemy”?

Of course, you would still have to show that it was all unforeseeable, cannot nor could not have been mitigated and is causing you to default on or delay your performance.

Recent post

COVID-19’s Impact on Employment Law… A Perspective from the UAE

September 28, 2020

As countries cautiously lift movement restrictions and governments have begun announcing dates for suspension of government support programs, we find ourselves entering the next phase of the COVID-19 crisis. Companies and employees must now confront the redundancies that had been held in abeyance during the lock down phase. Preparedness from both the perspectives of the employer and the employee is crucial. For the next several weeks, Argentum Law will provide an overview of key changes in employment legislation and measures which governments and companies have implemented in the UAE and EU.

Read more

Start a conversation

Contact US