Force Majeure Clause:
Force Majeure Clauses have continued to evolve over the past decade and is currently one of the most negotiated clauses in hotel contracts. The reason for this is the recent surge in natural disasters such as floods and hurricanes, along with an increased amount of terrorist attacks. Also there has been a recent surge in travel warnings for risks such as Zika Virus and civil unrest in the past 18 months.
Let’s start with a definition of Force Majeure before we jump into further detail.
Jonathan T. Howe, Esq is an expert on this subject and has published a great industry resource on the Meetings & Conventions site:
In this piece he defines Force Majeure as:
“The legal concept of force majeure (French for “greater force”) means impossible to perform. Thus, if a force majeure circumstance makes it impossible for the parties to fulfill their contracted duties, they are relieved of any liability for failing to perform because of the intervention of the superior force. But the inability to fulfill contract terms is excused only for the duration of the force majeure circumstance.”