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ARTICLE · 02 APRIL 2020

COVID-19 – Is It A Force Majeure, Material Adverse Change Or Material Adverse Effect?

Unless you have been blissfully detached from global news since December 2019, you are aware of the outbreak of a new coronavirus that has caused worldwide anxiety.

CanadaCoronavirus (COVID-19)

Unless you have been blissfully detached from global news since December 2019, you are aware of the outbreak of a new coronavirus that has caused worldwide anxiety. What was first identified as a pneumonia of unknown cause in Wuhan, China on December 31, 2019, was declared a Public Health Emergency of International Concern by the World Health Organization (WHO) on January 30, 2020, christened COVID-19 on February 11, 2020, and surpassed 100,000 confirmed cases worldwide on March 7, 2020. On March 9, 2020, British Columbia confirmed the first COVID-19-related death in Canada. On March 11, 2020, WHO declared the outbreak a pandemic. 

This growing global health emergency is already having very real impacts on the Canadian economy and affecting the operations of Canadian businesses, both domestically and abroad. Global efforts to stem the spread of the virus have created heretofore unseen restrictions on the movement of goods and people. Canadian businesses are now

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