Force Majeure Clause and its applicability in the Current COVID-2019 Pandemic in the Perspective of Bangladesh (Published)
With the rapid spreading of COVID-2019 in the whole world, it is crystal clear that this will certainly change the shape and nature of global supply chain. All the players both from the upstream and downstream will be seriously affected by the outbreak of COVID-2019. As modern global supply chain is remotely connected, the supply chain players come under the model form of contract. And force majeure clause is one of them-meaning a situation which is beyond the control of the contracting parties and none can be held responsible for performance of the contract. The scope and purview of the application of force majeure clause vary across the world. Generally speaking, pandemic like COVID-2019 is treated as force majeure event. Any pandemic like COVID-2019 may create economic crisis and whether this economic crisis trigger the situation to call for and take recourse of force majeure clause is a debatable issues in the eye of courts of different countries. With the backdrop of this issue, it is high time we could revisit the contractual terms of conditions, assess and evaluate the degree and magnitude of the effect of the force majeure clause in the contract and go ahead with the settlement of the disputed claim in an amicable manner.
Keywords: Economic Crisis, contractual obligation, force majeure clause, performance of contract, termination of contract.