Force Majeure

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Force Majeure

Force Majeure is a French term that means “greater force”. It is a concept derived from an act of God, i.e: beyond human control. It is a state of emergency or condition that permits a company to depart from the strict terms of contract because of an event or effect that cannot be reasonably anticipated or controlled. Force Majeure is included as a separate term in shipping contracts to discharge participants from fulfilling obligations in case of external, unforeseeable, and unavoidable catastrophes interrupting the regular course of events.

It comprises an exhaustive list of natural and human-caused events including, but not limited to: earthquakes, hurricanes, floods, fire, volcanic eruptions, plagues, war, terrorism.

 

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