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ARTICLE · 09 JUNE 2020

Covid-19 Construction Law Update: Force Majeure And Related Issues

Before COVID-19, force majeure provisions were often afterthoughts in construction contracts. However, COVID-19 has put these types of clauses in the forefront.

United StatesCoronavirus (COVID-19)

Before COVID-19, force majeure provisions were often afterthoughts in construction contracts. However, COVID-19 has put these types of clauses in the forefront as the construction industry begins to feel the effects of the global pandemic.

Force majeure clauses, whether in construction contracts or other types of contracts, are meant to address events that could not reasonably have been foreseen. Such clauses typically allow a party to postpone or terminate performance when events occur that are beyond either party's control, causing contract performance to be impractical or impossible. Force majeure events typically involve things such as war, famine, riots, extreme weather and government orders. These examples are not, however, an inclusive list. Therefore, one needs to review how a particular contract defines force majeure events. Here we will discuss a few examples of the application of force majeure and other contract avoidance principles to construction

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