A Study on the Force Majeure by Corona virus(COVID-19) in International Contracts

WOOJOO BYUN

The spread of the coronavirus (COVID-19) continues to cause tremendous pain all over the world. In addition, the effects of COVID-19 are not only directly threatening the health of the people around the world, but also affecting the economies of each country. On the other hand, the effects of COVID-19 have led to the discontinuation of production of goods and the paralysis of the transportation system, leading to the inability of contracting parties in international transaction relations to fulfil their contracts. In this connection, if the parties are unable to perform the contract due to unforeseen circumstances in the previous international transaction relationship, Laws such as Force Majeur, Frustration, and Hardship by Change of Condition have solved these problems. When it comes to the specific application of the above laws, First of all, United Nations Convention on Contract for the International Sale of Goods (Article 79) can be understood through the exemption. Accordingly, the failure of the contract may result from an obstacle beyond his control and the circumstances in which the failure of the contract should be impossible to foresee at the time of conclusion of the contract may result in the failure of the contract. In addition, Principles on International Commercial Contracts of International Institute for the Unification of Private Law do not function as binding legislation as CISG, but PICC is currently a non-compliance factor in international contracts. This paper considered whether a party that has contractual obligations in international transactions could make a claim of immunity due to force majeure on the grounds of the coronavirus (COVID-19). In this regard, an important clue to what COVID-19 means as a force majeure reason was recently published on July 15, 2020: “Note of the UNIDROIT Secretariation the UNIDROIT Principles of International Commercial Contracts and the COVID-19 Health Crisis” Therefore, based on the above notes, the applicability of Force Majeure under COVID-19 in international transaction relations was reviewed.

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* 2021년 이후 발행 논문의 참고문헌은 현재 구축 중입니다.

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