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13 Jan 2020

Force Majeure and the escalation of US-Iran tensions


The recent high profile attacks in Iraq, and their potential ramifications, will be monitored especially closely by parties currently engaged in construction and infrastructure projects in the region.

Following the airstrike in Iraq on 3 January 2020 which killed General Qasem Soleimani, the commander of the Iran Revolutionary Guards Corps and Abu Mahdi Al Muhandis, the deputy commander of Iraq's Popular Mobilisation Forces, the fear of reprisals and increased political instability will be of particular concern to parties involved in construction projects in Iraq and the Middle East. 

As a starting point, it is important for companies currently working on projects in the region to undertake a comprehensive review of the applicable contracts, paying close attention to the relevant force majeure provisions.

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