Category:

Disaster & Management

COVID-19 coronavirus:Locking people up to stop virus spread could prompt legal fights

The measures stop well short of the response to the outbreak in China, where the authorities have locked down cities and regions with tens of millions of residents. Still, the moves are unprecedented in recent years for western democracies as governments try to balance the need to protect public health against a desire to uphold individual rights.

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Coronavirus leads companies with supply chain disruptions to invoke ‘Force Majeure’

-Force majeure refers to unexpected external circumstances that prevent a party to a contract from meeting their obligations.

-The underlying event must be unforeseeable and not the result of actions undertaken by the party invoking force majeure. Natural disasters, strikes, and terrorist attacks can all be force majeure events.

-Declaring force majeure may allow a party to a contract to avoid liability for nonperformance.

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