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

Contract Drafting Tips: The Recitals

May 28, 2020

One of the areas of a contract, which is often overlooked is the Recitals area. Here is an example I found on the internet, lets discuss….Did your eyes glaze over? I know … it is boring, but it is important! Here is why your General Counsel obsesses over this section:

Read more

Start a conversation

Contact US