Force majeure, change in law and material adverse change
Section 56 discharges a contract only when its foundation is destroyed, never when it merely becomes expensive; and where the agreement carries a force majeure clause, section 56 steps aside altogether and the client is left with whatever the drafter wrote.
- 4 pages
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- 14 September 2026
What it covers
- 1Force majeure, change in law and material adverse changess.32, 56 and 65, Indian Contract Act 1872
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FORCE MAJEURE, CHANGE IN LAW AND MATERIAL ADVERSE CHANGE
1. Force majeure
1.1 Definition. “Force Majeure Event” means any event or circumstance, or combination of events or circumstances, which is beyond the reasonable control of the Party affected by it, which that Party could not have prevented, avoided or overcome by the exercise of reasonable diligence and at reasonable cost, and which materially and adversely affects the performance by that Party of its obligations under this Agreement, including:
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