This form brings together several boilerplate Force Majeure contract clauses that work together to outline the definition, effect, and procedures applicable under a contract agreement as a result of a Force Majeure event. Both short and detailed examples are provided to suit individual needs and circumstances.
Iowa Putting It All Together - Force Majeure Provisions
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US-ND1108
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FAQ
Force Majeure Clause A party is not liable for a failure to perform if he can prove that: (1) the failure was due to an impedement beyond his control; (2) he could not have reasonably foreseen the impediment at the time of contract formation; and (3) he could not have reasonably avoided or overcome its effects.
Comment: Typical Force Majeure events include natural causes (fire, storms, floods), governmental or societal actions (war, invasion, civil unrest, labor strikes), infrastructure failures (transportation, energy), etc.
On [DATE] our manufacturing facility in [LOCATION] was severely damaged by [Hurricane, Storm, Electrical Fire, or Other Specific Cause Listed or Described as a Force Majeure Event in the Parties' Commercial Agreement], resulting in a [Complete; Partial] shutdown of the facility.
For a force majeure provision to excuse nonperformance, the nonperformance must be both directly and proximately caused by the allegedly triggering condition. For example, a restaurant may be able to show it could not operate (or operate fully) due to government shutdowns but may fail to prove it could not pay rent.
A force majeure clause includes three elements: It specifies the events which enable either party to declare a force majeure/act of God event. It states how a party should notify its counterparty about the occurrence. It describes the consequences after a force majeure event has occurred.
Force majeure clause samples 10.2 The Party affected by Force Majeure shall not assume any liability under this Agreement. ... Section 15.12 Force Majeure. ... 6.4 If the agreement cannot be performed due to force majeure, the responsibility shall be exempted in part or in whole ing to the influence 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.