We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Thursday, 28 May 20
COVID-19: A FORCE MAJEURE EVENT? - KYPRIANOU
KNOWLEDGE TO ELEVATE
While seeing the unexpected COVID-19 outbreak expanding worldwide and the first cases being identified in Cyprus, the commercial sector does not remain unaffected. Emergency measures such as travel restrictions, citizens placed on quarantine and self-isolation are only some of the factors that started to impact parties to commercial transactions that render contract performance physically or commercially impossible. May a party invoke contractually agreed force majeure clauses or, the doctrine of frustration in an attempt to protect themselves from being unable to meet its contractual obligations?
Force Majeure
The concept of “force majeure” (meaning "superior force"), is used commonly in contracts as a clause that essentially releases both parties from liability or obligation when an unexpected event or circumstance beyond the control of the parties, prevents one or both parties from fulfilling their obligations under the contract.
Determining whether the Corona-virus outbreak constitutes a force majeure event, is a matter of construction and will depend on the specific wording and the scope of the clause.
It is the case that force majeure clauses often contain a list of events that qualify as force majeure events. For instance, terms such as “epidemic”, “pandemic”, or more generic terms such as “disease” and “illness” are often expressly listed as events of force majeure. In such cases, it will be easier to claim force majeure protection, as COVID-19 is likely to qualify as a force majeure event. Also, terms such as “acts of government” or “national or regional emergency” may be listed so as to cover emergency measures taken by the government such as travel bans or placing citizens in quarantine in case of this novel outbreak.
Additionally, under common law, a party seeking to invoke that its ability to perform the contract has been prevented by a force-majeure event, has the burden to prove certain elements. These are:
-
that the event was unforeseeable;
-
that it has taken all reasonable steps to avoid or mitigate the effects of the force majeure event; and
-
that the event was beyond its control and thus impossible to overcome.
Most importantly, there must be a causal connection between the force majeure event that made it physically or legally impossible to perform the contractual obligations. With the COVID-19 case, the affected party has to show that due to the outbreak of Corona-virus and its resulting governmental measures, no alternative measures exist for performing its duties under the contract.
Frustration
In case the contract does not include any force majeure clause, the affected party may attempt to excuse its failure to perform its contractual obligations under the doctrine of frustration. Subject to Section 56(2) of the Contract Law Cap.149, as amended, “a contract to do an act which, after the contract is made, becomes impossible, or, by reason of some event which the promisor could not prevent, unlawful, becomes void when the act becomes impossible or unlawful. As interpreted by Cyprus courts, section 56(2) is only applicable to an impossibility which destroys the foundation of the contract, which requires a high threshold for proof of frustration of a contractual undertaking.
Recommended actions
If you have executed a contract or are considering entering into new contract during this period, you should review the force majeure clauses carefully in order to understand the circumstances under which you can declare a force majeure and whether the Corona-virus outbreak and the resulting emergency measures may fall under its scope.
By Andria Kouloumi
Further, notification processes and deadlines should be also reviewed carefully, in order to ensure that your ability to claim force majeure protection is not precluded. Importantly, if you intend to enforce such force majeure clauses, you should consider your obligation to take all the reasonable measures to mitigate the effect of non-performance, otherwise your failure to perform your obligation may not be excused. If in doubt regarding how a force majeure provision applies and whether force majeure protection may cover you, it is recommended to seek legal advice prior to taking any action or sending notices.
Michael Kyprianou & Co LLC is ready to assist and advise you in relation to issues you may face, including by providing advice as to your options and requested objectives, enabling you to make an informed decision.
The content of this article is valid as at the date of its first publication. It is intended to provide a general guide to the subject matter and does not constitute legal advice. We recommend that you seek professional advice on your specific matter before acting on any information provided. For further information or advice, please contact Andria Kouloumi, Associate, at Andria.Kouloumi (at) kyprianou.com
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 29 May 20
KOMIPO ON BEHALF FIVE KOREAN GENCOS INVITED COAL BIDS FOR 5,700 & 4999 NCV COAL FOR AUGUST 2020 LOADING
COALspot.com: South Korea’s Korea Midland Power Co.,Ltd (KOMIPO) on behalf five (5) Korean Gencos has Issued an International Tender for tota ...
Friday, 29 May 20
DRY BULK SHIPPING: NO QUICK RECOVERY FOR THE DRY BULK MARKET AS COVID-19 DIGS DEEPER
The outlook is poor for dry bulk, as the negative demand shock and overcapacity come together to send rates to multi-year lows, even a return to wo ...
Thursday, 28 May 20
OIL DEMAND RECOVERED BY 20% IN MAY AGAINST APRIL: RUSSIAN ENERGY MINISTER - TASS
Oil demand remains at a low level but the demand in May increased by 20% against April, Russian Energy Minister Alexander Novak said, cited by the ...
Thursday, 28 May 20
MARKET INSIGHT - INTERMODAL
Earlier in May, China’s top leaders convened for the annual National People's Congress, following over two months of delays due to the co ...
Wednesday, 27 May 20
CHINA TAIYUAN COAL TRANSACTION PRICE INDEX UP 0.94 PCT - XINHUA
China Taiyuan coal transaction price index stood at 125.03 points Monday, up 0.94 percent week on week.
The index, released by China ...
|
|
|
Showing 946 to 950 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Leighton Contractors Pty Ltd - Australia
- GAC Shipping (India) Pvt Ltd
- Australian Coal Association
- Tamil Nadu electricity Board
- McConnell Dowell - Australia
- Standard Chartered Bank - UAE
- Bukit Makmur.PT - Indonesia
- Chamber of Mines of South Africa
- Indogreen Group - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Lanco Infratech Ltd - India
- Siam City Cement PLC, Thailand
- Billiton Holdings Pty Ltd - Australia
- Rashtriya Ispat Nigam Limited - India
- Mercuria Energy - Indonesia
- Antam Resourcindo - Indonesia
- Coastal Gujarat Power Limited - India
- Madhucon Powers Ltd - India
- Energy Link Ltd, New Zealand
- San Jose City I Power Corp, Philippines
- OPG Power Generation Pvt Ltd - India
- Mintek Dendrill Indonesia
- Sical Logistics Limited - India
- Kideco Jaya Agung - Indonesia
- Africa Commodities Group - South Africa
- Vizag Seaport Private Limited - India
- Sojitz Corporation - Japan
- Mjunction Services Limited - India
- SN Aboitiz Power Inc, Philippines
- Parry Sugars Refinery, India
- Sarangani Energy Corporation, Philippines
- VISA Power Limited - India
- PowerSource Philippines DevCo
- London Commodity Brokers - England
- Therma Luzon, Inc, Philippines
- PNOC Exploration Corporation - Philippines
- Binh Thuan Hamico - Vietnam
- Directorate General of MIneral and Coal - Indonesia
- Petron Corporation, Philippines
- Power Finance Corporation Ltd., India
- Mercator Lines Limited - India
- Coal and Oil Company - UAE
- Kalimantan Lumbung Energi - Indonesia
- Videocon Industries ltd - India
- SMG Consultants - Indonesia
- Kaltim Prima Coal - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Cigading International Bulk Terminal - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Ind-Barath Power Infra Limited - India
- Ministry of Mines - Canada
- Kobexindo Tractors - Indoneisa
- Salva Resources Pvt Ltd - India
- Anglo American - United Kingdom
- Commonwealth Bank - Australia
- Ministry of Finance - Indonesia
- IHS Mccloskey Coal Group - USA
- Jindal Steel & Power Ltd - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Meralco Power Generation, Philippines
- Baramulti Group, Indonesia
- Vedanta Resources Plc - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Simpson Spence & Young - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Kumho Petrochemical, South Korea
- PTC India Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- India Bulls Power Limited - India
- Manunggal Multi Energi - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Borneo Indobara - Indonesia
- Agrawal Coal Company - India
- Ambuja Cements Ltd - India
- Bhatia International Limited - India
- Dalmia Cement Bharat India
- Australian Commodity Traders Exchange
- Malabar Cements Ltd - India
- Deloitte Consulting - India
- Larsen & Toubro Limited - India
- Carbofer General Trading SA - India
- Xindia Steels Limited - India
- Altura Mining Limited, Indonesia
- Trasteel International SA, Italy
- Ceylon Electricity Board - Sri Lanka
- MS Steel International - UAE
- Maheswari Brothers Coal Limited - India
- Global Business Power Corporation, Philippines
- Aditya Birla Group - India
- Siam City Cement - Thailand
- Electricity Authority, New Zealand
- Uttam Galva Steels Limited - India
- Alfred C Toepfer International GmbH - Germany
- Eastern Energy - Thailand
- Bangladesh Power Developement Board
- Energy Development Corp, Philippines
- Kapuas Tunggal Persada - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Kohat Cement Company Ltd. - Pakistan
- Savvy Resources Ltd - HongKong
- Directorate Of Revenue Intelligence - India
- Romanian Commodities Exchange
- Renaissance Capital - South Africa
- ASAPP Information Group - India
- Bukit Baiduri Energy - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Orica Australia Pty. Ltd.
- Bukit Asam (Persero) Tbk - Indonesia
- Sakthi Sugars Limited - India
- Minerals Council of Australia
- Semirara Mining and Power Corporation, Philippines
- Barasentosa Lestari - Indonesia
- Bhushan Steel Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Electricity Generating Authority of Thailand
- European Bulk Services B.V. - Netherlands
- Maharashtra Electricity Regulatory Commission - India
- Asmin Koalindo Tuhup - Indonesia
- Global Coal Blending Company Limited - Australia
- Indian Energy Exchange, India
- Independent Power Producers Association of India
- Essar Steel Hazira Ltd - India
- Kartika Selabumi Mining - Indonesia
- The State Trading Corporation of India Ltd
- Petrochimia International Co. Ltd.- Taiwan
- Wilmar Investment Holdings
- White Energy Company Limited
- Sinarmas Energy and Mining - Indonesia
- Attock Cement Pakistan Limited
- LBH Netherlands Bv - Netherlands
- New Zealand Coal & Carbon
- Iligan Light & Power Inc, Philippines
- Parliament of New Zealand
- Neyveli Lignite Corporation Ltd, - India
- Latin American Coal - Colombia
- Formosa Plastics Group - Taiwan
- Riau Bara Harum - Indonesia
- Gujarat Sidhee Cement - India
- Medco Energi Mining Internasional
- Karaikal Port Pvt Ltd - India
- AsiaOL BioFuels Corp., Philippines
- Oldendorff Carriers - Singapore
- Banpu Public Company Limited - Thailand
- Timah Investasi Mineral - Indoneisa
- Singapore Mercantile Exchange
- Bayan Resources Tbk. - Indonesia
- Cement Manufacturers Association - India
- Posco Energy - South Korea
- Indian Oil Corporation Limited
- Edison Trading Spa - Italy
- Metalloyd Limited - United Kingdom
- Thiess Contractors Indonesia
- Interocean Group of Companies - India
- Samtan Co., Ltd - South Korea
- The University of Queensland
- Aboitiz Power Corporation - Philippines
- South Luzon Thermal Energy Corporation
- Makarim & Taira - Indonesia
- Global Green Power PLC Corporation, Philippines
- Rio Tinto Coal - Australia
- Coalindo Energy - Indonesia
- Tata Chemicals Ltd - India
- Marubeni Corporation - India
- Chettinad Cement Corporation Ltd - India
- IEA Clean Coal Centre - UK
- Intertek Mineral Services - Indonesia
- Wood Mackenzie - Singapore
- TeaM Sual Corporation - Philippines
- Orica Mining Services - Indonesia
- Sree Jayajothi Cements Limited - India
- Price Waterhouse Coopers - Russia
- Miang Besar Coal Terminal - Indonesia
- Meenaskhi Energy Private Limited - India
- Georgia Ports Authority, United States
- Kepco SPC Power Corporation, Philippines
- Star Paper Mills Limited - India
- Merrill Lynch Commodities Europe
- Indonesian Coal Mining Association
- Central Java Power - Indonesia
- The Treasury - Australian Government
- GVK Power & Infra Limited - India
- Pendopo Energi Batubara - Indonesia
- Globalindo Alam Lestari - Indonesia
- SMC Global Power, Philippines
- Indo Tambangraya Megah - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Grasim Industreis Ltd - India
- GMR Energy Limited - India
- Eastern Coal Council - USA
- Ministry of Transport, Egypt
- Semirara Mining Corp, Philippines
- Toyota Tsusho Corporation, Japan
- Port Waratah Coal Services - Australia
- CNBM International Corporation - China
- CIMB Investment Bank - Malaysia
- Vijayanagar Sugar Pvt Ltd - India
- Krishnapatnam Port Company Ltd. - India
- ICICI Bank Limited - India
- Jaiprakash Power Ventures ltd
- Thai Mozambique Logistica
- Sindya Power Generating Company Private Ltd
- Straits Asia Resources Limited - Singapore
- Indika Energy - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Bank of Tokyo Mitsubishi UFJ Ltd
- Bhoruka Overseas - Indonesia
- International Coal Ventures Pvt Ltd - India
- Bahari Cakrawala Sebuku - Indonesia
- Bharathi Cement Corporation - India
- Heidelberg Cement - Germany
- Jorong Barutama Greston.PT - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Economic Council, Georgia
- Planning Commission, India
- Bulk Trading Sa - Switzerland
- Central Electricity Authority - India
- Goldman Sachs - Singapore
|
| |
| |
|
