North Dakota Negotiating and Drafting the Force Majeure Provision

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Multi-State
Control #:
US-ND1103
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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.


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FAQ

Neither party will be liable for inadequate performance to the extent caused by a condition (for example, natural disaster, act of war or terrorism, riot, labor condition, governmental action, and Internet disturbance) that was beyond the party's reasonable control.

A force majeure provision gives the invoking party the contractual right to suspend certain obligations to perform under a contract. ingly, the relevant contract must have a force majeure provision. There is no right to excuse performance for force majeure at common law.

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.

A typical force majeure clause includes a statement that the occurrence of certain events or circumstances will excuse performance; a listing of the events or circumstances; and a listing of obligations imposed on the party claiming to be excused that typically relate to keeping the other party informed about the force ...

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.

One of the key aspects of negotiating force majeure clauses is to define the terms and conditions that will trigger and govern the application of the clause. You should be clear and specific about what constitutes a force majeure event, and avoid vague or broad terms that may create ambiguity or disputes.

Response to Force Majeure Declaration Dear [Contact Person]: We are in receipt of your notification dated [Date] in which you assert that an event in the nature of force majeure has occurred and is preventing your obligation to supply products under the above Supply Agreement.

If you have a family crisis, you have a right to limited time off work. This is called force majeure leave. You may need to take force majeure leave for an urgent family reason, such as the unexpected injury or illness of a 'close family member'.

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North Dakota Negotiating and Drafting the Force Majeure Provision