Force Majeure

Querist : Anonymous (Querist) 06 May 2010 This query is : Resolved
The Force Majeure condition of a particular contract contains finite list of events for which this clause can be invoked ( which also includes Strikes). But the clause does not specifically cover the subcontractor/subsupplier's works or locations.

In case if the Contractor wants to invoke this clause for one of the strikes in the subsupplier's location overseas can it be invoked ?

There are no restrictiins in the contract for assigining the contract or appointing a sub supplier.

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Ashok Yadav (Expert) 06 May 2010
The contract is in between Two Parties and both the parties are liable to ecah other on non performance of any term or condition of the contract. If the contractor wants to inkvoke the Force Majeure clause he can do it but he will have to prove it beyond any doubt, he could not escape from his liability under this clause on any pretext, if the reason is bonafide and proved then he can invoke this clause.

Raj Kumar Makkad (Expert) 06 May 2010
I concur with Yadav.

Heaven 2011 (Expert) 07 May 2010
In my view when the agreement is mute as to the appointment of a sub contractor then it does not give the contractor the absolute discretion to appoint a subcontractor to perform the work of the subject of the agreement without any knowledge of the opposite party. In fact the opposite party would not allow it to do so. It will be subject to a consent letter from the opposite one or subject to a fresh agreement. Here when the agreement was agreed upon, the would be appointed subcontractor was not a party to the contract. As the agreement is between the current parties hence the exoneration from the liability, if any, occures due to the non performance due to the subcontractors, office strike wiil not be applicable for the contractor itself.

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