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Although the general principles of English contractual law did not see a dramatic overhaul in 2023, parties to commercial contracts should still be aware of a number of cases in 2023 that tweaked, clarified or confirmed areas...more
A few months ago, a Commercial Division court granted summary judgment in favor of the plaintiff-landlord in a case involving a commercial lease for a gym that was closed due to COVID-19 restrictions. The decision in Amherst...more
In the wake of COVID-19, litigants have increasingly sought to excuse contractual performance by invoking force majeure clauses. In the early stages of the pandemic, there were few reported decisions on these matters, and the...more
The COVID-19 pandemic has strained commercial landlord-tenant relationships across the United States. As the courts wade their way through the backlog of lawsuits filed in 2020, there are a growing number of decisions...more
As the ever-evolving COVID-19 pandemic is no longer considered “unprecedented” and the restrictions associated with the pandemic have become a part of “the new abnormal,” district courts nationwide are beginning to grapple...more
On December 14, 2020, Judge Marvin Isgur of the United States Bankruptcy Court for the Southern District of Texas, issued an important decision in the CEC Entertainment, Inc. (Chuck E. Cheese) bankruptcy case, Case No....more
As discussed in previous updates, courts across the country continue to grapple with the application of force majeure provisions in contracts, as well as the related legal doctrines of impossibility, frustration of purpose,...more
As discussed in previous updates, COVID-19 has brought the concept of force majeure to the forefront across multiple practice areas. As the pandemic-caused shutdowns began, scholars and businesses alike re-examined the...more
In the social and economic fallout from COVID, businesses are assessing how best to address their commercial relationships, especially where potentially insurmountable barriers to performance loom large. One clause that...more
On June 2, 2020, the Northern District of Illinois Bankruptcy Court addressed landlord-tenant debt obligations issues in light of the COVID-19 pandemic in its decision for In re: Hitz Restaurant Group. The Court held that the...more
The predicted wave of force majeure litigation related to COVID-19 has now become reality. Lawsuits are increasingly being filed by parties to contractual disputes, and practitioners are increasingly being called upon to...more
The first reported substantive ruling by a judge sitting in Illinois on the legal implications of whether COVID-19 and the resulting governmental shelter-in-place orders relieve a tenant’s obligation to pay rent pursuant to a...more
The United States Bankruptcy Court for the Northern District of Illinois – Eastern Division recently held that a lease’s force majeure clause sustained a claim for rent abatement arising out of the COVID-19 pandemic. Both...more
Restaurants, retail stores, and other businesses around the country have been uniquely hit by COVID-19 - and by the executive orders shuttering their in-person services that quickly followed in its wake. Recently, the United...more
As the nation (and much of the world) remains gripped in uncertainty surrounding the COVID-19 pandemic and the impact of the unprecedented measures being taken to combat its spread, one thing appears beyond doubt on the legal...more
With the spread of COVID-19 and executive orders and other laws effectuating lockdowns, closures, and rules against multi-person assemblies, many entities are issuing notices claiming excuse for non-performance based on...more
COVID-19 presents a unique and, for most parties, unprecedented challenge – a pandemic that has resulted in a global public health crisis and significant restrictions on global trade and labor, the repercussions of which...more
Email overload on whether the new coronavirus, COVID-19, triggers a force majeure clause? Whether you're considering a claim, worried about receiving one or busy drafting following the outbreak, here's our 10-point,...more
Many organizations may be parties to contracts where the counterparty is seeking to cancel its obligations because of COVID-19. This situation is arising in relation to various commercial relationships, including supply...more
The daily headlines are reminders of the far-reaching economic ripple effects of the 2019 Novel Coronavirus (COVID-19) outbreak. The pandemic is forcing companies to abruptly alter strategies and business plans that seemed...more
For more than a month, China has been suffering from the COVID-19 outbreak, leading to strict containment measures and the standstill of many production plants of raw materials or parts. ...more
It depends. A force majeure clause typically refers to “acts of God,” defined generally as ‘an act occasioned exclusive by violence of nature without the interference of any human agency.’...more
Many commentators have assumed that a party to a contract will be excused from performance if the coronavirus outbreak causes its inability to perform. But in order to be sure this would apply in a particular supply contract...more
- Under English law, force majeure clauses in contracts may allow parties to avoid their performance obligations in certain extreme circumstances, as defined by the contract. - It is unlikely that a low demand for LNG in...more
The coronavirus outbreak has severely hindered business activities in mainland China, with ripple effects throughout Asia and beyond. As a result of the outbreak, companies in mainland China, Hong Kong, and other places in...more