Force Majeure- No one size fits all
The decision of Bombay High Court in the case of Standard Retail Pvt. Limited & Ors. v. G.S. Global Corp & Ors.1 firmly establishes that force majeure is not a case of “one size fits all”, even when evaluated in context of a global pandemic such as Covid-19. The decision came in the context of Section 9 petition under the Arbitration and Conciliation Act, 1996 filed before the court seeking directions to restrain negotiating banks from negotiating / encashing the letters of credit. The petition was filed by buyers in India, who had contracted to purchase of steel products from the suppliers from South Korea. The goods had already been shipped from South Korea and the court observed that the supplier had already performed its obligations under the contract.