In this latest episode of our Navigating COVID-19 podcast series, Sarah Pollock, Emma Schaafsma and Julie Farley consider the force majeure implications of a potential second wave of COVID-19 infections and the resulting re-imposition or tightening of lockdown measures. Many contracting parties have already been affected by force majeure events arising out of the pandemic and the associated restrictions. … Read more
The High Court has held that the London riots of 2011 did not give rise to a force majeure defence to claims for failing to secure a warehouse from break-ins and arson attacks. Nor did the claims fall within an exclusion clause relating to indirect or consequential losses: 2 Entertain Video Ltd v Sony DADC … Read more
The Commercial Court recently dismissed a claim to recover the cost of repairs to two offshore transmission cables linking the Gwynt Y Môr offshore wind farm in North Wales with the National Grid, which the claimant had sought to recover under an indemnity for “Pre-Completion Damage” in a business sale agreement: Gwynt Y Môr OFTO … Read more
The High Court has held that a supplier of soft toys was entitled to restitution of the value of the services it had provided to a toy designer, in anticipation of a contract to mass produce the developed toy. The judge further found that a claim in restitution for services provided in anticipation of a … Read more
Oil prices have collapsed since the start of the year, driven down by concerns around oversupply, compounded by the collapse in demand caused by COVID-19 and the price war between Russia and Saudi Arabia. This briefing published on our website looks at the implications of low oil prices on certain key trading and operational agreements … Read more
The COVID-19 pandemic has led many commercial parties to review their contractual arrangements and consider whether there are any grounds on which they may seek to delay or avoid performance (or liability for non-performance), or suspend or terminate their contracts. Force majeure clauses are intended to address circumstances in which a supervening event has prevented … Read more
The Court of Appeal has held that a consultant’s statement that he intended to perform his contractual obligations under a consultancy agreement did not remedy his material breach of refusing to provide services under that agreement. The court unanimously agreed with the High Court’s conclusion that, to remedy the breach, the consultant would have had … Read more
Herbert Smith Freehills has published a new global guide on supply chain difficulties arising from the COVID-19 pandemic and associated restrictions. The guide explores issues around: maintaining the links in the supply chain; competition law issues; product-related issues; and the suspension and termination of contracts. In each area, the guide suggests practical steps to consider … Read more
As many countries contemplate an easing of COVID-19 lockdown restrictions following a downturn in cases, scientists and politicians are warning of the possibility of a “second wave” of COVID-19 cases which would then require a re-imposition of restrictions. We are already seeing this in certain Asian countries. The prospect of a second wave will have … Read more
