Implied terms in an agreement – Force Majeure

In our earlier communication about force majeure, we advised you that we would inform you as to the position of our law if a contract does not contain a force majeure clause. You will recall that we advised that if a contract does have a force majeure clause then in all likelihood the courts would limit the ambit of what is a force majeure to those circumstances described in the agreement. The reason behind this is that the courts are likely to state that the parties had the opportunity to consider force majeure, and indeed did so, and described in the agreement what will be considered by them to be a force majeure and the consequences thereof.

Understanding Force Majeure

By now we are certain that you have all heard of the term force majeure. Even the President utilised it in one of his addresses to the Nation asking business people not to invoke the provisions of force majeure to avoid complying with contractual obligations. But what exactly is this term and when can it be invoked by a party.