This form provides boilerplate Force Majeure contract clauses that outline the definition and effect of a Force Majeure event on a contract agreement. Several different language options are included to suit individual needs and circumstances.
Force Majeure Clause For Contract
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US-ND1103
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FAQ
An example of an operative clause is: " . 1 Neither party is responsible for any failure to perform its obligations under this contract, if it is prevented or delayed in performing those obligations by an event of force majeure.
Generally speaking, for events to constitute force majeure, they must be unforeseeable, external to the parties of the contract, and unavoidable. These concepts are defined and applied differently depending on the jurisdiction.
For example, parties in the United States have used the COVID-19 pandemic as a force majeure in an attempt to escape contractual liability by applying the elements of an (1) unforeseeable event, (2) outside of the parties' control, that (3) renders performance impossible or impractical.
If by reason of Force Majeure, either party hereto shall be rendered unable wholly or in part to carry out its obligations under this Agreement then such party shall give notice and fully particulars of Force Majeure in writing to the other party within a reasonable time after occurrence of the event or cause relied
No party shall be liable or responsible to the other party, nor be deemed to have defaulted under or breached this Agreement, for any failure or delay in fulfilling or performing any term of this Agreement (except for any obligations to make payments to the other party hereunder), when and to the extent such failure or
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The clause usually begins with language allowing one or both parties to not complete their obligations under the contract if a force majeure event occurs. Force Majeure Clauses in a pandemic: which contracts can be breached due to COVID-19.