What role does a force majeure have in a construction contract?

Construction projects are often high-value jobs. Because of that, many contractors will use contracts to cover themselves and ensure that everyone is on the same page about the project.

Construction projects often include several different terms that govern the project. One clause that might be included is a force majeure clause. This is a clause that can be found in contracts to excuse one or both parties from their obligations if something uncontrollable and unexpected occurs. 

Many situations can trigger the force majeure clause

There are many different things that can fall under this clause. Some of these include government actions, natural disasters, war or terrorism. The key is that the event must make performance impossible or extremely impractical. It doesn’t cover things that are just inconvenient or expensive.

For example, if a supplier can’t deliver materials because of a flood that shut down transportation routes, the force majeure clause can be triggered. Courts will typically require a clear and direct connection between the event and the inability to meet the terms of the contract.

Wording of the clause matters

Not all force measure clauses are created equally. Some are broad while others are extremely specific. It’s important to consider the type of work you do and what might affect it in a way that you can’t control whenever you’re creating your contract.

Because these contracts are such an important protection for your company, it’s critical that you ensure everything is set up in a way that provides that establishes clear terms. Working with someone who can help you to remove any ambiguity may be beneficial in these cases.

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