Coronavirus (COVID-19): Force Majeure - An Act of War?

The Presidency of the United States, a very influential office, has described the fight against the Coronavirus (COVID-19) as a “war”: "I view the invisible enemy [coronavirus] as a war," he said. "I don't like how it got here, because it could have been stopped, but no, I view the invisible enemy like a war." If he can make that argument - perhaps you can use too.

By Osman Aboubakr

https://www.bbc.com/news/world-us-canada-52568405

The President of the United States, holding a very influential office, has described the fight against the Coronavirus (COVID-19) as a “war”: "I view the invisible enemy [coronavirus] as a war," he said. "I don't like how it got here, because it could have been stopped, but no, I view the invisible enemy like a war."

If he can make that argument - perhaps you can use it too.

Assuming you have no other stronger arguments, ask your General Counsel to check the Force Majeure clause in the contract at issue or the Force Majeure provision under the laws applicable to you - can you make an argument that you cannot perform the terms and conditions of your contract due to the effects on the economy arising from  the government in your jurisdiction waging a war against an “invisible enemy”?

Of course, you would still have to show that it was all unforeseeable, cannot nor could not have been mitigated and is causing you to default on or delay your performance.

Recent post

First Global Investigations Review (GIR) Live in Dubai

Argentum Law attended the Global Investigations Review (GIR) Live, the first of its kind in Dubai, on November 14, 2022.The event gathered bankers, regulators, compliance professionals, litigation and arbitration attorneys and investigations, due diligence and asset tracing specialists from the Middle East region to discuss matters relating to financial crimes and investigations and prosecution thereof. There were three main topics. The first panel discussion centered around navigating a continuously changing global sanctions regime, the second panel discussion focused on Anti-Bribery and ..

Read more

Start a conversation

Contact US