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ARTICLE · 28 MARCH 2022

Can We Terminate Our Contracts With A Sanctioned Country?

Siskinds LLP
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You, as a business owner, may be asking yourself whether you can terminate your contracts with businesses in sanctioned foreign countries.

CanadaGovernment, Public Sector
Savvas Daginis
Savvas Daginis
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You, as a business owner, may be asking yourself whether you can terminate your contracts with businesses in sanctioned foreign countries. Perhaps you're concerned that the sanctions may be levied on you, or perhaps you're concerned about the court of public opinion. Regardless of your reasoning, don't rush feet first into cancelling your contracts. You should always consult with your lawyer first as there are many factors you may want to consider.

First, do the sanctions impact your business?

You should look into whether the sanctions apply to your business or impact your supply lines. If the sanctions have the risk of applying, you should move very quickly and carefully. You always need to ensure you and your business comply with sanctions laws and regulations. Violating sanctions law can impact your reputation and carry significant financial and criminal penalties.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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