MUR » Topics » ARTICLE 27 - FORCE MAJEURE

This excerpt taken from the MUR 10-K filed Mar 16, 2005.

ARTICLE 27 – FORCE MAJEURE

 

27.1 It is agreed that in the event of either party being rendered unable, wholly or in part by Force Majeure, to carry out its obligations under this CONTRACT, then on such party’s giving notice and full particulars of such Force Majeure in writing to the other party after the occurrence of the cause relied on, then the obligations of the party giving such notice, so far as it is affected by such Force Majeure, shall be suspended during the continuance of any inability so caused, but for no longer period, and such cause shall, as far as possible be remedied with all reasonable dispatch. The provisions of this Force Majeure clause shall not apply, however, to obligations of COMPANY to make payments of money or otherwise for liabilities and obligations actually incurred under the terms hereof.

 

27.2 The term “Force Majeure” as employed herein shall mean:

 

  a)   Requisition, order, control, direction, intervention or requirement of a Government.

 

  b)   War, preparation for war or the consequence thereof, whether or not there has been a declaration of war.

 

  c)   Riot or civil commotion or act of terrorism.

 

  d)   Catastrophic fire, explosion, or flood at the premises of CONTRACTOR or its contractors or its subcontractors.

 

  e)   Act of God, epidemic or quarantine restriction, named storms which cause WORK to cease and are of exceptional duration in excess of normal conditions for the affected area.

 

  f)   Cessation, curtailment or interruption in fuel, power, gas or water supplies.

 

  g)   National strikes or national labor disputes.

 

27.3 CONTRACTOR shall, as soon as possible, but in any event within five (5) business days of becoming aware that the occurrence of any cause of Force Majeure delay specified above is likely to cause delay in the BONUS MILESTONE DATES, DTU COMPLETION DATE and the FINAL COMPLETION DATE, notify COMPANY in writing thereof. CONTRACTOR shall also notify COMPANY in writing after such occurrence, for which notice was given, providing full particulars and the anticipated impact to be claimed on the BONUS MILESTONE DATES, DTU COMPLETION DATE and the FINAL COMPLETION DATE.

 

However, this Article shall not be construed to relieve CONTRACTOR from making all reasonable efforts to avoid, minimize and make-up any resulting delay.

 

27.4 If and when a Force Majeure event has lasted more than thirty (30) days cumulatively, CONTRACTOR shall be at liberty to demobilize to meet its other work commitments and the Parties shall mutually agree to a new schedule for the completion of the WORK.

 

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