Category: Contracts & management
Prepared by Eng. Ahmed Fathy, Projects Manager ·
Definition
Force majeure is an exceptional event that cannot be foreseen or avoided and is beyond both parties' control, making performance impossible temporarily or permanently, such as natural disasters, war, epidemics and general lockdown decisions. The contract defines it and its effects.
Why it matters on a project
It can give a right to more time without damages and sometimes to terminate, but usually no money unless the contract says so. Prompt notice is a condition for relying on it.
Common mistake
Treating any price rise or labour shortage as force majeure, when it is usually a commercial risk the contractor carries.
Frequently asked questions
Is heavy rain force majeure?
Normal rain no; exceptional unforeseeable events may be, depending on the contract definition.
What do I do when it happens?
Notify the other party in writing at once, record the effect on the works, and take reasonable steps to limit the damage.
Related terms
- Extension of time (EOT)The contractor’s entitlement to additional time for delay not of its making, subject to timely notice.
- Contractual claimA formal request for money or time under the contract.
- FIDIC contractsInternational standard forms of engineering contract defining rights, notices, claims and change management.
- Delay damages (liquidated damages)An agreed sum deducted per day of delay after the contractual completion date, capped in the contract.
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