Breach of Contract vs. Force Majeure – Economic Impact Analysis
The current global business environment is unique. Businesses around the world are evaluating whether and when to intentionally underperform—or not perform at all—on a contract and are then seeking protection under a force majeure defense. Authorities have issued or are considering issuing force majeure “certificates” to provide a company a potential shelter from litigation. However, such a hall pass is just the starting point. Regardless of whether a company receives a pass, there are many economic considerations for a force majeure event.