The Application Of Force Majeure To Performance Of International Trade Contract

In the performance of international trade contract, unpredicted accident causes oneparty to the contract to postpone the delivery or not deliver the goods, thus the otherparty suffers the loss more or less. The party encountering the accident, however, willresort to force majeure rules to exempt from corresponding duty. Since force majeurehas legal effects to exempt duty or rescind the contract, whether it will be supportedresults in assignment of the rights and responsibilities. By analyzing the contractdispute caused by the force majeure as exemption rule between Party A and Party B,this paper discusses the finding standard from precondition and the relativity of forcemajeure, so as to indicate that three preconditions can't be absolute standards to judgeforce majeure. This paper also illustrates the finding standards interpreted by theclause of Contract Law of The People's Republic of China,General Principles of TheCivil Law of The People's Republic of China,United Nations Convention onContracts for The International Sale of Goods. Therefore when the parties enforcecontract, it can help the party truly comprehend the force majeure clause andunderstand the corresponding rights and liabilities.