Summaries - Force Majeure Clause_v2_FV

Contracts for Climate Change – Summary of Force Majeure Clause

Each of the precedents has a child’s name chosen by the drafting team. This is to encourage long-term thinking and to focus on the next generation as they will be most affected by the serious consequences if we fail to effectively respond to the climate crisis. CLIMATE RISK SHARING PROVISIONS — IRIS’ CLAUSE #climaterisk #covid-19 Issue Current clauses on contractual risk allocation foster uncertainty across the supply chain and can lead to adverse environmental consequences. Solution Iris’ Clause would integrate the concept of “Climate Risk Sharing” into standard force majeure clauses to balance financial risks with the need to mitigate adverse environmental and social impacts. Impact Fair allocation of contractual risk would inject resilience into the supply chain and shift the focus towards minimising the knock-on climate impacts from force majeure events.