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Are You Wondering If Your Force Majeure Clause Will Stand Up?

With Canada now entering its second month into its battle with the novel COVID-19 virus, businesses of all sizes are looking at potential remedies should they or their suppliers not be able to meet the demands of a contract.

One potential remedy is force majeure. Force majeure provision is a point of negotiation between the contracting parties that may or may not be included in the agreement and even if a force majeure is included in the contract, it does not necessarily mean that it extends to situations like the Coronavirus. Where there is no contract or no force majeure contained in the contract, non-performance because of Coronavirus may constitute a breach of contract, which could result in termination of the contract with penalty and, even also, the possibility of litigation. If your business is currently navigating contracts, we are here to help.

Stay healthy and safe!

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