Businesses need to take steps to position themselves for the coming storm.
- Review insurance polices
- Re-structure/re-negotiate contracts
Contracts are agreements and can be changed by agreement between the parties. However, if no agreement to change then contracts can be breached but understand the consequences.
If not or if the clause doesn’t cover payment obligations, there are still two other defences available:
- – Impossibility
Both rely upon unexpected events outside your control and you are unable due to those events perform your obligations or performance of your obligations under the contract are commercially impracticable.
Understanding your options places, you in a better position to negotiate with the other party.