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ARTICLE · 16 JUNE 2017

Qatar Crisis Highlights Question Of Force Majeure

Does the current diplomatic crisis constitute a qualifying event for the enforcement of a force majeure clause of a construction contract?

QatarReal Estate and Construction

Imports of construction materials needed for the State of Qatar to deliver its World Cup and Vision 2030 infrastructure schemes are being severely impacted by the recent closing of borders by key neighbours Saudi Arabia and the UAE, leading to increased costs and delays on major construction projects.

Does the current diplomatic crisis constitute a qualifying event for the enforcement of a force majeure clause of a construction contract?

When invoked, force majeure, meaning "superior force", essentially frees both parties from liability or obligation to a commercial contract in the event of circumstances outside of the control of the contracting parties, such as military action, strikes or natural catastrophes.

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