--- title: Force Majeure Clauses: Lessons From COVID-19 | Aavenir url: https://aavenir.com/covid-19-contract-management-force-majeure-clauses/ description: What COVID-19 taught procurement and legal teams about force majeure clauses, supplier risk and contract resilience, and how to draft and track these terms today. updated: 2026-11-07 --- [Home](https://aavenir.com/) / [Blog](https://aavenir.com/blogs/) / Force majeure clauses Contract risk # Force majeure after COVID-19: what contracts should say now The pandemic tested every force majeure clause at once. Here is what it taught contract teams, and what to do differently. NP **Nupur Patel**Jul 21, 2021 ยท 4 min read Contracts have existed for thousands of years, from clay tablets in ancient Sumer to the digital agreements of today. Few events tested them as broadly as COVID-19. In 2020, supply chains stalled, sites closed and businesses everywhere reached for the same clause: force majeure. We first wrote this post in 2021, in the middle of that disruption. We have rewritten it for 2026 readers, because the lessons still apply to every disruption since, from conflicts and sanctions to extreme weather and cyber incidents. The question is no longer whether disruption will happen, but whether your contracts and your contract data are ready for it. Key takeaways - Force majeure can excuse non performance, but only for events and effects the clause actually covers - Many pre 2020 clauses did not mention epidemics, government orders or supply chain failure - Supplier risk management and force majeure work together, not as substitutes - The biggest gap in 2020 was visibility: teams could not quickly find what their contracts said - Draft specific clauses, and keep your portfolio searchable by clause ## What is force majeure? Force majeure is a contract provision that relieves a party from liability for failing to perform when an extraordinary event beyond its control prevents performance. Typical events include natural disasters, war, terrorism, strikes and government action. Whether an epidemic qualifies depends on the wording and on the governing law. In early 2020, as manufacturing in parts of Asia paused and deliveries slipped, many buyers and suppliers turned to their contracts and found clauses that were vague, outdated or silent on epidemics. Some governments stepped in: [CNBC reported](https://www.cnbc.com/2020/03/06/coronavirus-impact-china-invokes-force-majeure-to-protect-businesses.html) that China issued force majeure certificates to protect its businesses, and the [UK government published procurement guidance](https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/873521/PPN_01-20_-_Responding_to_COVID19.v5__1_.pdf) asking public bodies to support at risk suppliers. ## What COVID-19 taught contract teams ### Specific wording matters Clauses that listed "acts of God" and "war" but not epidemics, pandemics or government orders led to disputes. Courts generally read force majeure narrowly, so the event and its effect need to be covered clearly. ### Notice and mitigation are part of the deal Most clauses require prompt notice and reasonable efforts to reduce the impact. Parties that missed notice deadlines sometimes lost the protection. ### Force majeure is not a supply strategy A clause may excuse a supplier, but it does not deliver your goods. Supplier risk management, with alternative sources and contingency plans, is what keeps operations running. ### Visibility was the real bottleneck Many organizations spent weeks working out which contracts contained which wording. Those with searchable repositories answered in days. ## How to draft force majeure clauses now - Name the events explicitly, including epidemics, pandemics, government orders, sanctions, cyber incidents and utility failures - Describe the required effect, for example that performance is prevented, not merely more expensive - Set a clear notice period and the evidence the affected party must provide - Require mitigation and regular updates during the event - State what happens to payment obligations during suspension - Give both parties a right to terminate if the event lasts beyond an agreed period Have your legal team set the preferred and fallback positions, and store them in your [contract clause library](https://aavenir.com/glossary/contract-clause-library/). **Could you find every force majeure clause today?**Bring the question. We will show Aavenir Atlas answering it across your contract portfolio. Schedule a demo ## Supplier risk and force majeure together | Tool | What it does | What it does not do | | Force majeure clause | Allocates liability when an extraordinary event prevents performance | Secure supply or replace a failed supplier | | --- | --- | --- | | Supplier risk management | Identifies concentration, financial and geographic risk before a crisis | Change what the contract says | | Business continuity plan | Keeps operations running during disruption | Excuse contractual non performance | ## Be ready for the next disruption Resilience depends on answering three questions within hours: which contracts are affected, what each one says and who must act. That requires every contract in one repository with clean metadata, and AI that can find and compare clauses across thousands of documents. [Aavenir Atlas](https://aavenir.com/solutions/ai-contract-intelligence/) answers questions across the whole portfolio, such as which supplier contracts lack pandemic wording. [Contractflow](https://aavenir.com/solutions/enterprise-contract-management-software/) keeps new contracts on approved language, and Aavenir AI flags clauses that depart from it, with a person approving every result. ## Force majeure and related clauses Force majeure rarely works alone. Review it alongside the clauses that interact with it: - **Material adverse change:**may allow a party to exit or renegotiate if conditions shift sharply - **Termination for convenience:**gives a route out that does not depend on proving a qualifying event - **Price adjustment:**handles rising costs, which most force majeure clauses do not cover - **Business continuity obligations:**require the supplier to maintain and test recovery plans - **Limitation of liability:**sets how much either party can recover if performance fails ## A quick review plan for existing contracts Start with your highest value and single source supplier contracts. For each, check whether the clause names the events you care about, what notice it requires and what happens to payment and termination. Record the gaps, then update the wording at the next renewal or amendment rather than waiting for the next crisis. Keep a short register of the gaps you find, with the contract, the missing wording and the date of the next renewal or amendment. That register becomes your negotiation list, and it shows leadership how exposed the portfolio is today. ## The bottom line COVID-19 showed that a force majeure clause is only as useful as its wording and only as reachable as your contract data. Draft specific clauses, pair them with real supplier risk planning and keep your portfolio searchable, so the next disruption starts with answers instead of a search. ### In this article - What is force majeure? - What COVID-19 taught contract teams - How to draft force majeure clauses now - Supplier risk and force majeure together - Be ready for the next disruption - Force majeure and related clauses - A quick review plan for existing contracts **See Atlas answer a portfolio question**Bring a question like which contracts cover epidemics. We will show Atlas answering it across your agreements. Share [in](https://www.linkedin.com/sharing/share-offsite/?url=https%3A%2F%2Faavenir.com%2Fcovid-19-contract-management-force-majeure-clauses%2F)[X](https://twitter.com/intent/tweet?url=https%3A%2F%2Faavenir.com%2Fcovid-19-contract-management-force-majeure-clauses%2F&text=Force%20majeure%20after%20COVID-19%3A%20what%20contracts%20should%20say%20now) Frequently asked questions (FAQ) ## Frequently asked questions ### ### Does force majeure cover pandemics? Only if the clause and the governing law allow it. Some clauses list epidemics or government orders explicitly, while others use general wording that courts may read narrowly. Review your clauses and name the events you want covered in new contracts. Read about [breach of contract](https://aavenir.com/glossary/breach-of-contract/). ### ### What should a force majeure clause include? It should name the covered events, describe the effect required, set a notice period and evidence requirements, require mitigation, explain payment during suspension and allow termination if the event continues too long. Store your approved wording in a [contract clause library](https://aavenir.com/glossary/contract-clause-library/). ### ### How can I find force majeure clauses across all my contracts? Put every contract in one repository and use AI search to find and compare the clause across the portfolio. Aavenir Atlas answers questions like which supplier contracts lack pandemic wording, so you can prioritize reviews. Explore [Aavenir Atlas](https://aavenir.com/solutions/ai-contract-intelligence/). Have a question we have not answered? [Ask the Expert](https://aavenir.com/contact/) ## Keep reading [Contract risk Contract risk management: how to identify, reduce and prevent contract risk A guide to contract risk management: the five types of contract risk, where they come from, the risk lifecycle and a seven step way to reduce risk with AI and rules. Read more](https://aavenir.com/contract-risk-management/)[Compliance Supply chain due diligence laws: what they mean for your contracts How Germany's Supply Chain Due Diligence Act and similar laws affect supplier contracts, and how contract management helps you meet due diligence duties. Read more](https://aavenir.com/derisk-contracting-processes-with-supply-chain-due-diligence-act/)[Sustainable procurement Environmental, social and governance compliance is no longer optional in procurement How environmental, social and governance requirements reach procurement and supplier contracts, and how to build and track them across the supplier lifecycle. Read more](https://aavenir.com/esg-compliance-is-no-more-an-option-are-you-esg-ready/) Schedule a demo ## See your contracts run on one record. - **1****A 30 minute walkthrough**Built around your team, whether that is procurement, legal, IT or finance. - **2****Your contracts, not ours**Bring a few sample agreements and watch Aavenir AI extract and review them. - **3****ServiceNow or standalone**We show the deployment that fits the systems you already run. Prefer to talk first? [Contact the team](https://aavenir.com/contact/). The form did not load. [Contact the team](https://aavenir.com/contact/) instead, or refresh the page.