Industry News

This week, the World Health Organization (WHO) has officially declared the coronavirus outbreak a pandemic. With the death toll rising and cases being reported on nearly every continent, there’s no telling what the overall impact this will have on lives and businesses across the globe. The spread of COVID-19 presents some unique challenges for the construction industry. One way construction companies can protect themselves is through a delay clause in their contract, also known as a force majeure clause.

A well-drafted force majeure clause can be a critical safety net to help contractors deal with unforeseen events, while a poorly-drafted one can result in a false sense of security as the virus continues to spread. Given the widespread impact of the virus, let’s take a moment to review what exactly a force majeure clause is, how it works, and ways to improve it to protect yourself if the virus ends up affecting your construction project.

Please find additional input on force majeure issues here.