This is particularly the case at the Supreme Court of Canada where, as described below, the Court has not interpreted a force majeure clause
in nearly 40 years.
In general, contracts must be performed: if not, a party is in breach and must pay damages even if not responsible for the problem - hence the need for a suitable force majeure clause
, and it is important to realise that it is exactly what is in that clause that counts, not some vague idea of what is "force majeure".
Whilst a force majeure clause
wouldn't ordinarily offer protection against increased costs, it can allow a company to suspend its obligations or break the terms of a contract in circumstances beyond the control of both parties, such as war, strike or a natural disaster.
The Paisley-based co-op announced it would not be able to supply all its customers with every litre of milk they wanted, and invoked the force majeure clause
in contracts, pleading circumstances beyond its control, from August onwards.
This article discusses the protection that may or may not be afforded by the inclusion of a force majeure clause
in a supply contract and what suppliers and consumers should look for in reviewing existing supply contracts and negotiating new ones.
Any scheme of more than 1 year to include force majeure clause
Without the incorporation of the specific cause within a force majeure clause
, it is an open question as to whether a catch-all force majeure provision would cover a given situation.
Most standard contracts include a force majeure clause
, which basically protects the supplier/manufacturer from unexpected circumstances ( something which experts at Eversheds believe the last-minute change in date would be classed as.
As such, suppliers should review the terms and conditions of their contracts to determine if such relief is available under a force majeure clause
in September that the losses in 2000 were outside of the control of the JOA, falling under the force majeure clause
The consortium of Japan Bank for International Cooperation (JBIC) and Nippon Export Insurance (NEXI), which asked for force majeure clause
in the contract, was favored by the government before it demanded later the loan guarantee considering security problem in the country.
In cases where there is no express renegotiation clause, investors frequently rely on either a force majeure clause
included in the contract or the hardship concept of international contract law.
Two issues deserve consideration for most franchisors: the force majeure clause
and the arbitration clause.
TRIPOLI - Libya's state-run oil corporation has declared 11 oil fields in the country non-operational after attacks by suspected Islamic State militants, opting for a force majeure clause
that exempts the state from contractual obligations.
Noble said it would fight the oil company's effort to cancel the contract under a force majeure clause
for the Noble Jim Day rig, which was expected to begin operations for Marathon by December 31.