China Is Making Force Majeure Claims, Leaving General Counsel with Many Questions

February 12, 2020 | BY

Sue Reisinger

Experts are telling clients they have three options: grant the exemption, fight it in court, or negotiate a compromise. [The original version of this article was published on Corporate Counsel.]

 

 

                             Shanghai masks. Photo: Qilai Shen

As China struggles to control the impact of the coronavirus on its residents and its economy, general counsel around the world are deciding how to deal with Chinese companies that seek emergency exemptions from their contracts.

China reportedly has already certified some 100 businesses to invoke so-called force majeure exemptions from contract duties, citing the coronavirus outbreak as a qualifying disaster.

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