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PLC Magazine

Force majeure and causation: ready, willing and able?

A recent Court of Appeal decision has significant implications for the drafting of force majeure and exceptions clauses and serves as a reminder of the importance of using the correct terminology to reflect the parties' intentions (Classic Maritime Inc v Limbungan Makmur Sdn Bhd and another [2019] EWCA Civ 1102). The court found that whether a party seeking to rely on a force majeure clause will be required to prove that it was ready, willing and able to perform the contract "but for" the force majeure event will depend on the precise wording used in the relevant clause.

Contents

  • The dispute
  • Drafting implications
  • Court of Appeal decision
  • Contract law implications

 

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This article first appeared in the August 2019 issue of PLC Magazine.

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