COVID-19 and Contractual Obligations - Checklist

Drafting notes

This Checklist sets out some of the key issues to consider when a party is unable to comply with its contractual obligations due to the impact of coronavirus (COVID-19), e.g., to proceed with/complete works under a construction contract, or supply goods or services under a supply contract (or series of supply contracts).

Commercial considerations, shared objectives and collaboration will also play a key role in ensuring that parties are able to mitigate the impact of coronavirus on their staff and business, in challenging times and where neither party is at fault.

Force majeure

Force majeure is a term used to describe an event that is beyond the control of the parties, and which pre-vents them from fulfilling their contractual obligations:

Checklist	Notes
Triggering force majeure
Check to see whether your contract contains force majeure provisions or provisions with a similar effect. Note that: the term ‘force majeure' may not necessarily be used in the contract; and force majeure provisions may be set out in a standalone clause and/or incorporated in clauses dealing with matters such an extensions of time and/or compensation for loss and expense.

Checklist

Notes

Triggering force majeure

Check to see whether your contract contains force majeure provisions or provisions with a similar effect. Note that:

the term ‘force majeure' may not necessarily be used in the contract; and
force majeure provisions may be set out in a standalone clause and/or incorporated in clauses dealing with matters such an extensions of time and/or compensation for loss and expense.