Clause 19.7 in FIDIC: Understanding Release from Contractual Performance
Understanding Clause 19.7: Release from Performance under the Law in FIDIC Yellow Book 1999
Introduction Clause 19.7 in the FIDIC Yellow Book 1999 addresses situations where external events, including Force Majeure, make it impossible or unlawful for either party to fulfill contractual obligations. This clause is crucial for understanding the legal implications and financial settlements in such scenarios.
Key Components of Clause 19.7
- Scope of Events:
- Covers events or circumstances beyond the control of the parties, extending beyond Force Majeure, that make contractual performance impossible or unlawful.
- Includes any situation that legally entitles parties to be released from further performance under the law governing the contract.