Force Majeure, concluding the series…...!

Note: in question is Covid19 period

Thankfully, the media company got the proper vetting of their documents prior to signing of the contract in 2019 and “Force Majeure” clause was appended in their contracts at proper places, with explanation and what sorts of situation it will cover with a possibility of anything new arising out of blue and how it will be dealt with when the situation demands.

Being one of the best technology lawyer, we understand the nature of business our client has.

Our corporate legal team is preparing for the case and they have identified grounds for the fair play which will make the case interesting and not dominating.

So, to highlight, in both the cases “Force Majeure” is a respite for the corporates since it was part of the agreement, while our team of best corporate lawyer in Delhi NCR, is dealing with several contracts, they have noticed 98% of the contract’s didn’t had such terms defined and we have been advising our clients to properly do a due diligence before signing agreements any further, making sure as to not getting penalised for not performing when performance itself is in question for not their mistake.

Once again while we wrap this series, lets recap, when a force majeure event occurs, the affected party can typically invoke the force majeure clause to seek relief from their obligations under the contract. This may include extending deadlines for performance, suspending performance temporarily, or, in some cases, terminating the contract altogether. The purpose of the force majeure clause is to allocate the risk of unforeseen events between the parties and provide a mechanism for addressing the impact of such events on the performance of the contract.

It is important to note that the scope and applicability of force majeure clauses can vary depending on the language and interpretation of the clause, as well as the governing law of the contract. Some force majeure clauses may specifically list the consequences and remedies available, while others may require the affected party to give notice within a certain timeframe or take reasonable steps to mitigate the effects of the event. The burden of proof is generally on the party seeking to invoke the force majeure clause to demonstrate that the event or circumstance qualifies as a force majeure event and has prevented or delayed their performance.

It is advisable for parties entering into a contract to carefully consider and negotiate the force majeure clause to ensure that it reflects their intentions and adequately addresses potential unforeseen events that may impact the performance of the contract. Legal advice may be sought to ensure that the clause is properly drafted and aligns with the applicable laws and regulations.

While the above and other cases will make progress, we will be sharing some interesting facts around “Force Majeure” in coming months.

Until then, are you through with clause

“Neither Party will be liable for any failure or delay in performing an obligation under this Agreement that is due to any of the following causes, to the extent beyond its reasonable control: acts of God, accident, riots, war, terrorist act, epidemic, pandemic, quarantine, civil commotion, breakdown of communication facilities, breakdown of web host, lockdown, breakdown of internet service provider, power outage, grid failure, natural catastrophes, governmental acts or omissions, changes in laws or regulations, national strikes, state-wide disturbances, fire, explosion, generalized lack of availability of raw materials or energy (“Force Majeure Occurrence”).