Covid Force Majeure Letter Sample
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Force majeure and coronavirus covid 19.
Covid force majeure letter sample. As nonprofit organizations look ahead toward planning future events we suggest including a force majeure provision that specifically covers covid 19 and similar developments. There is a veritable pandemic raging and im not referring to covid 19. Real estate law coronavirus force majeure cancellation of contract sample letter free template april 3 2020 scott talkov categories.
A force majeure clause 1 specifies the events which enable either party to declare a force majeureact of god event 2 how a party should notify its counterparty about the occurrence and 3 the consequences after a force majeure event has occurred. Typical force majeure events include natural causes fire storms floods governmental or societal actions war invasion civil unrest labor strikes. Whether covid 19 is an fm under a contract depends on the clauses specific wording within that contract bearing in mind that fm clauses are typically interpreted narrowly.
Its a pandemic of webinars and legal articles about force majeure and covid 19. This memorandum serves as a follow on to the force majeure in the wake of the coronavirus covid 19 alert issued march 3 2020 taking into account recent developments and their impact on parties ability to invoke force majeure and outlining alternative common law excuses of nonperformance where contracts are silent on the issue. The second sample clause also includes epidemics and pandemics but it specifically excludes the current covid 19 pandemic from the scope of force.
Timothy murray murray hogue lannis. Covid 19 as a force majeure. Event contracts and force majeure business coronavirus everyday law staff 22 may 2020 if youre a small business owner or sole proprietor who scheduled an in person event prior to the covid 19 pandemic youre probably wondering how to work out the logistics of a postponement or cancellation.
Weve drafted the following sample force majeure language which can be edited as needed for your event contracts. The two sample force majeure clauses below cover epidemics and pandemics. Sample clause includes epidemics and pandemics within the scope of force majeure events without any exceptions.
Sadly no lawyer is immune from it. It may therefore be difficult for a party to rely on an fm clause where there is some level of ambiguity over whether it applies to covid 19. Force majeure is a contractual defense that allows a party to suspend or discontinue performance of its contractual.
In light of the novel coronavirus covid 19 pandemic many businesses are confronting for the first time in their corporate history circumstances that may excuse or delay their obligations to perform under existing contracts due to the occurrence of a force majeure event. Real estate law bankruptcy law business corporate law litigation tags. Seven critical lessons from the case law posted on 06 16 2020.
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