CLIENT ALERT: Force Majeure? Contractual Performance During the Coronavirus Pandemic - Updated March 18

On March 18, Governor Cuomo signed an Executive order designating “construction” as an essential business activity, such that the workforce restrictions applicable to other business do not apply to construction sites. 

Considering this Order, it appears unlikely that manpower shortages due to the coronavirus would be covered under applicable force majeure clauses, or would be the basis of a claim of impossibility, in construction contracts in New York.

Please contact Alex Ferrini, or your regular contact at Olshan, if you have any questions.