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Lloyd's Shipping & Trade Law

MUR Shipping - a comparative perspective

Unlike the position in, say, French or Dutch law, "force majeure" has no independent meaning in English law. The effect of a force majeure event (if any) therefore depends upon the existence and wording of a clause making provision for it. In the absence of such a clause, the force majeure event may result in the frustration of the contract (ie, the discharge of both parties from any obligation to continue performance).

However, frustration is rare. The more usual consequence is therefore that performance becomes more difficult for one of the parties. If, as a result, that party ceases to perform, then it will be in breach of contract, one potential consequence of which is that the other party will become entitled to terminate and claim damages.

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