Given the many disruptions to business operations in light of COVID-19, and resulting questions on Force Majeure clauses in commercial contracts, we are pleased to provide this guidance document.
We trust you will find this useful.
As the world business organization representing more than 45 million companies in over 100 countries, ICC, along with our educational arm the ICC Academy, will be hosting a series of livecasts and webinars on COVID-19 in the coming weeks, free of charge. As part of the COVID-19 response, the series topics will focus on three core areas: health (to speed the health response to COVID-19), economy (to keep trade flowing to restore growth and safeguard jobs), and at a later stage recovery (to maintain momentum on reform of the trading system).
To view the recorded sessions and upcoming ones, visit COVID-19 resource page on COVID-19 resource page.
The novel coronavirus (COVID-19) is an unprecedented health and economic crisis, affecting the lives and livelihoods of workers, as well as the continued operations of businesses globally. By its nature the disease knows no national borders, and in an era of globally integrated supply chains and capital markets, actions to combat COVID-19 by one national government affect many others.
To combat the economic repercussions of this pandemic, ICC believes that urgent and decisive action by all stakeholders is needed. We call on everyone, including governments, international organisations, multilateral development banks, business organisations, and multi-national corporations, to cooperate and coordinate their actions to “Save Our SMEs”. The immediate objective of all stimulus efforts should be to ensure that money flows rapidly into the real economy— and, in particular, to those most vulnerable to the economic disruptions caused by COVID-19 —as well as ensuring that developing countries receive adequate assistance.
The imperative to Save Our SMEs cannot be understated: this agenda is of paramount importance to safeguard the current and future functioning of the global economy and the livelihoods of billions of workers throughout the world.
Read the full Call to Action here.
We also want to use this occasion to thank our Federal Council for its fast and determined reaction. The package of measures in Switzerland goes exactly in the aspired direction and this Call of Action therefore has been implemented in our Country.
The global response to COVID-19 has, thankfully, begun to accelerate with the G20 holding its first ever “virtual summit” on last Thursday.
The G20 leaders’ commitment to ensure the free flow of medical equipment, in particular, was especially welcome – but actions now must follow words.
That is why ICC has written to G20 Trade Ministers ahead of their meeting today, with a roadmap for G20 countries to use trade policy to fight COVID-19 and rebuild the future.
In the letter, ICC outlines 10 concrete ideas for trade ministers with three core goals in mind – to speed the health response to COVID-19, to keep trade flowing to restore growth and safeguard jobs, and to maintain momentum on reform of the trading system.
ICC Switzerland has sent this letter to the Swiss authorities.
ICC has updated its Force Majeure and Hardship clauses to help businesses large and small draft contracts adaptable to unforeseen events such as the COVID-19 outbreak.
ICC Working Group has updated the existing Long Form FM clause and developed an innovative Short Form FM clause in response to calls from small and medium sized companies for something more streamlined.
On the Hardship Clause side, the updated model features 3 options to cater for a range of situations in which parties seek amendment or termination of their contract.
We are pleased to announce that the Geneva Chamber of Commerce, Industry and Services (CCIG) is the next co-organiser of the 13th World Chambers Congress (#13WCC), after the Dubai Chamber of Commerce & Industry.
We give our warmest congratulations to Vincent Subilia and his team at CCIG and are looking forward to give our full support for this upcoming event.
