When Global Disasters Strike: Force Majeure Provisions

Stephanie Sharron, Alistair Maughan, Kristina Ehle, and Chuan Sun authored an article for Corporate Compliance Insights that offers practical guidance on how to manage and mitigate risks as the COVID-19 pandemic interrupts operations and impacts performance, and explores using the force majeure clause in adjusting performance expectations.

“Generally, courts in the U.S. and U.K. are reticent to excuse performance in the absence of a contractual agreement to do so; this is as true for technology transactions as other types of contracts,” the authors wrote. “A force majeure clause can bring clarity to when performance will be excused, as well as what other rights or remedies a customer might have if a vendor seeks to be excused from performance due to a force majeure event.”

Read part one of this two-part series.