How does the COVID-19 pandemic affect borrowers and lenders and their financing arrangements?
A Material Adverse Effect (MAE) clause is included in most finance agreements. It is a catch-all concept to capture unpredictable and unforeseen events or circumstances that would otherwise be difficult to incorporate into the agreement specifically.
Broadly, a MAE clause covers a
As a general rule, a party is excused from rendering contractual performance if it becomes physically or legally impossible for such party to perform. But a defence of impossibility of performance will not succeed if, when the impossibility intervened, the performance was overdue. In such a case, the rule is that lateness perpetuates the obligation,
Will the corona virus (COVID-19) constitute a force majeure event under South African law? The answer to that is it depends. The virus has been declared as a pandemic by the World Health Organisation and is causing economic chaos on an international scale never seen before, due to the closure of
The outbreak of COVID-19 (Coronavirus) has affected many areas of business, and the legal implications extend far beyond the obvious sectors such as tourism and employment law. Click here to look at our publications for a range of insights on the impact of the pandemic if it continues to spread.
Here are eight areas affected
Property developers are not immune to the water restrictions being imposed by the City of Cape Town and, in terms of the recently published Level 6 water restrictions, have had to reduce their monthly consumption of municipal drinking water by 45% from 1 February 2018.
With day zero looming, contractors need to be aware