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force majeure conditions
In order for a party to have the benefit of force majeure, it shall have to fulfill the conditions specified in force majeure clause. Force majeure is often treated as a standard clause that cannot be changed . Nevertheless, courts have indicated a willingness to consider recessions as force majeure events if the parties intended such events to be covered by their contracts. Force Majeure Event with respect to a party means an event beyond the reasonable control of an affected party including: (a) acts of God; (b) war . To examine the extent and coverage of a force majeure clause, let's take a look at the provisions in two standardized construction contracts; the AIA A201, and the ConsensusDocs 200.. AIA A201-2017: General Conditions of the Contract for Construction "Force Majeure" - While most construction contracts contain these provisions, they are often not understood in relation to the implications they may have on construction projects. . Many force majeure clauses refer to "acts of God" as events that trigger their operation. 2.1 Force majeure clause compared to the doctrine of frustration Event postponements and cancellations due to the COVID-19 pandemic raise a host of commercial concerns, including whether performance may be excused under a force majeure provision or a common law doctrine, such as impossibility or frustration of purpose; the extent of each party's insurance coverage; and whether the event organizer must . When operating under the standard AIA General Conditions for example, this provision, like many other versions of force majeure clauses, does not specifically list "epidemic" or, for that . The parties can agree on the contingencies . Because force majeure relieves a party of its duties under a contract, the issue of specifying exactly what may be considered an event under force majeure is critical in negotiating the contract.It may be important for a party to resist efforts of the other party to include events that, practically speaking, should be at that party's risk. The term force majeure emanates from French civil law and it means "superior force". Three conditions must be met for an event to qualify as a force majeure event: The event must have been beyond the control of the debtor. A force majeure clause in a contract is an expressed provision to identify those circumstances or .
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