What if I can't perform the contract - unforeseen consequences of a pandemic?

23.03.2020

In one of the previous alerts we discussed the impact of the introduced epidemic threat on the rights and obligations of employers under employment contracts. However, each entrepreneur is a party to many other civil law contracts, such as mandate or specific work contracts, contracts with subcontractors, sales and lease contracts. The extraordinary economic circumstances that we face during the SARS-CoV-2 pandemic may have a significant impact on the ability to perform the obligations arising from such contracts, which in turn may be associated with severe liability for damages or loss of business partners. Among the possible difficulties, we can mention the suspension of raw material supply for production when we are bound by deadlines for the delivery of goods, or delays in the implementation of transport due to reintroduced border controls - examples could be multiplied, and many of them will become apparent over time.

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Agnieszka  Chamera
Agnieszka Chamera
Managing Partner of PKF Tax&Legal
Tax Advisor
+48 609 331 330

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