1. What is 'force majeure'?
'Force majeure', also called 'vis
majeure' meaning 'superior force' refers to an
unforeseen event or condition which occurs beyond the control of
the parties to a contract, and because of which the parties are
prevented from performing their obligations.
2. What events typically qualify as 'force majeure
events'?
Force majeure events typically include government
action, war, terrorism, strikes, civil unrest, acts of god, floods,
earthquakes, hurricanes and other natural calamities. Such events
are essentially characterised by being unforeseeable by and being
beyond the control of contracting parties, and have inevitable,
unprecedented and material effects on the performance of a
contract. The effects and consequences of these events are such
that they fundamentally alter circumstances which the parties did
not contemplate to be bound by at the time of making the
contract.
