The COVID-19 pandemic is continuing to have ripples throughout the country, both on an individual and business level. Specifically, the virus has left businesses across a wide range of industries wondering what to do if they are unable to perform the services they are contractually obligated to provide.
As more and more businesses have been following federal and state leaders’ advice to take increasingly restrictive measures to stop the spread of the virus, even companies that have contracts that planned for unforeseeable circumstances may not be absolved from all liability. That’s why we expect to see a flood of contract disputes once things return back to normal.
Luckily, some businesses may be able to avoid damage if contracts have force majeure clauses. The clauses excuse a party from performing its obligations when an event beyond its control prevents it from performing its contracted services. However, this will likely not apply to all contracts and some businesses may have to deal with the disruptions of multiple contracts at once. To help you learn more about the potential increase of contract disputes, below is an article from Bloomberg Law that we find particularly enlightening.
Let us be a resource for your business throughout this unprecedented time. Our litigation team is comprised of experienced trial attorneys highly adept at navigating the complexity and uncertainty of business contract disputes. If you have any questions regarding contract disputes, please do not hesitate to contact Busch Mills & Slomka, LLP today.