What happens if a contract does not have a force majeure clause?

If a contract is silent on force majeure or if the event does not meet the definition of force majeure under the parties' contract, a party's performance may still be excused in certain circumstances under the doctrine of commercial impracticability.

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Comparison of Contract Law of the People's Republic of China with The...

Contract Law Force Majeure In Cuyahoga

Category:

Contracts - Contract Law

State:

Multi-State

County:

Cuyahoga

Control #:

US-00103BG

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Instant download

Description

A comparison the United States law of contracts with the law of contracts of the People's Republic of China.

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Force majeure is the situation-based doctrine under which a supervening event may excuse liability for non-performance, provided the supervening event is unforeseeable, uncontrollable, and makes the performance of an obligation impossible – thus qualifying as a “force majeure event”.

Any events that are within the reasonable control of a party, occur as a result of negligence by one of the contracting parties, or are explicitly listed as exceptions in the force majeure clause, will not be deemed a force majeure event.

If you, as a business owner or consumer, relied on another party to fulfill their end of a contract, and that business failed to carry out their end of the bargain, you will have a valid breach of contract claim against them. In Ohio, you have 6 years to bring a breach of contract claim against another party.

For events to constitute the use of force majeure, they must be unforeseeable, external to contract parties, and unavoidable. Force majeure means “greater force” and is related to an act of God, an event for which no party can be held accountable.

Under the Parental Leave Act, you are entitled to Force Majeure leave where for urgent family reasons, your immediate presence is required owing to an injury or illness of a close family member.

Either Party shall be excused from performance and shall not be in default in respect of any obligation hereunder to the extent that the failure to perform such obligation is due to a Natural Force Majeure Event.

If a contract is silent on force majeure or if the event does not meet the definition of force majeure under the parties' contract, a party's performance may still be excused in certain circumstances under the doctrine of commercial impracticability.

The definition of "force majeure" generally includes "risks beyond the reasonable control of a party, incurred not as a product or result of the negligence of the afflicted party, which have a materially adverse effect on the ability of such party to perform its obligations".

Force majeure events The parties will usually agree on a list, which may or may not be exhaustive, of examples of force majeure events. Force majeure events generally can be divided into two basic groups: natural events and political events.

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Ohio courts have recently noted that the implementation of a force majeure clause to excuse nonperformance under a contract is a "relatively new. These clauses typically list specific circumstances that will excuse one or more of the contracting parties' delay in performance or non-performance.

Contract Law Force Majeure In Cuyahoga

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