Force Majeure. What is it?



New Member
Could someone please look at this attachment. It is from a contract for a off-plan development in Dubai.
It seems to the the developer has rewritten the meaning of Force Majeure to cover pretty much any delay.
The developer used Force Majeure for a development being over 4 years late as a reason not to pay compensation.



Hazel Ryan

New Member
Force majeure is a contractual defence that lets a party discontinue or suspend the contractual obligations under specific circumstances. Also, it might work to limit the liability of the contracting party. The authorities determine whether an event is force majeure or not according to the case. Moreover, they also take into account the terms of the relevant contract and the applicable law.

Most force majeure provisions comprise a list of particular events which are not predictable and beyond human control. Now, the occurrence of a global pandemic like COVID-19 or its consequences is likely to fall under a force majeure event. Especially, if the provision makes a point to include references like an epidemic or pandemic.