Force Majeure Act Clause Samples
A Force Majeure Act clause defines circumstances under which a party is excused from fulfilling contractual obligations due to extraordinary events beyond their control, such as natural disasters, war, or government actions. This clause typically outlines what types of events qualify as force majeure, the procedures for notifying the other party, and the effects on the contract's performance, such as suspension or extension of deadlines. Its core practical function is to allocate risk and provide relief from liability when unforeseen events make contract performance impossible or impracticable.
Force Majeure Act. The term “
Force Majeure Act. Change in Law
18.1.1 In the event that either Party is rendered wholly or partially unable to perform its obligations under this Agreement because of a Force Majeure Act (“Affected Party” as described in Clause 19), and such inability to perform lasts for not less than a total of nine (9) Months in continuous form or of twelve (12) Months in discontinuous form in a period of two (2) Years, and in the considered assessment of the other Party (“Non-Affected Party”) there is no reasonable likelihood of the Force Majeure Act coming to an end in the near future, such Party shall have the right to terminate this Agreement, by giving at least ninety (90) days prior written notice to the Affected Party of the intention to so terminate this Agreement. In such an event, unless the said notice of termination is withdrawn by the Affected Party, the termination shall take effect on expiry of the notice period or ninety (90) days whichever is later, and the Parties shall be absolved of all rights/obligations under this Agreement, save those that had already accrued as on the effective date of termination.
18.1.2 In the event that the Purchaser is prevented/disabled under Applicable Law from using Coal, for reasons beyond their control, owing to changes in applicable environmental and/or statutory norms, howsoever brought into force, the Purchaser shall have the right to terminate this Agreement, subject to a prior written notice to the Seller of not less than thirty (30) days.
Force Majeure Act. Change in Law In the event that the Purchaser is prevented/disabled under Applicable Law from using Coal, for reasons beyond their control, owing to changes in applicable environmental and/or statutory norms, howsoever brought into force, the Purchaser shall have the right to terminate this Agreement, subject to a prior written notice to the Seller of not less than 30 (thirty) days.
Force Majeure Act. The term ―Force Majeure Act‖ as used in this Agreement shall mean any act, circumstance or event or a combination of acts, circumstances and/ or events which wholly or partially prevents or delays the performance of obligations arising under this Agreement by any Party (―Affected Party‖) and if such act, circumstance or event or combination thereof is not reasonably within the control of and not caused by the fault or negligence of the Affected Party, and provided that such act, circumstance or event or combination thereof falls within one or more of the following categories including:
(a) flood, inundation of mine, drought, lightening, cyclone, storm, earthquake or geological disturbances, eruption of gases, subsidence and such natural occurrences;
(b) explosions, mine fire and other fire, contamination of the atmosphere by radioactive or hazardous substances;
(c) civil disturbance such as riot, terrorism etc.;
(d) industry wise /nation-wide strikes in the sector in which either Party operates in;
(e) any Applicable Law, ordinance or order of the Central or State Government, or any direction of a statutory regulatory authority that restricts performance of the obligations hereunder;
(f) any epidemic;
(g) the enactment, promulgation, amendment, suspension or repeal of any Applicable Laws after the Signature Date; and/ or
(h) any delay or direction or order on the part of the Government of India or relevant State Government or denial or refusal to grant or renew, or any revocation, or modification of any required permit or mining lease or governmental approvals including those related to land acquisition or environment/ forest clearance provided that such delay, modification, denial, refusal or revocation was not due to a cause attributable to the Affected Party; provided that a Force Majeure Act shall not include within its purview, any economic hardship, equipment failure and/ or breakdown other than as specifically set forth above.
