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ARTICLE · 07 APRIL 2020

Three Things You Need To Know If A Contract is Breached Because Of COVID-19

In the current economic climate, many businesses will face the argument that contracts they rely on could not be performed because of disruptions caused by COVID-19.

CanadaCoronavirus (COVID-19)

This article was co-authored by;

Alan Mak, Forensic Accountant and Chartered Business Valuator, Partner and National Forensics Practice Leader, BDO Canada LLP

Katie Armstrong Litigation Risk Solutions Broker, Vice-President, Litigation Funding and Insurance, Marsh & McLennan Companies

Matthew Mann, Financial Institutions and Professional Services Practice Broker, Senior Vice President, Marsh & McLennan Companies

In the current economic climate, many businesses will face the argument that contracts they rely on could not be performed because of disruptions caused by COVID-19. The party seeking to avoid the contractual obligation will either rely on a force majeure clause in the contract itself or resort to the doctrine of frustration.

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