Covid-19 Pandemic as an event of force majeurein agreements: Case study of Indonesian court decisions

Fadlan, Muhammad Lailul and Fidhayanti, Dwi (2024) Covid-19 Pandemic as an event of force majeurein agreements: Case study of Indonesian court decisions. AL-IKTISAB: Journal of Islamic Economic Law, 8 (2). ISSN 2580-4251

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Abstract

The legal uncertainty regarding the categorization of the regarding whether or not the Covid-19pandemic Covid-19pandemic as a force majeurecondition has led to inconsistent interpretations for those directly impacted by the situation. Therefore, considerations can be accepted as a reason for force majeurein agreements need further analysis, both in terms of written law and judicial practice. The objective of this research is to determine the legitimacy of the Covid-19pandemic as force majeureconditionand to describe the basis of the court’s reasoning in deciding whether the pandemic can be accepted as a valid reason for force majeurein contractual agreements. This research adopts a normative juridical methodology, utilizing a statue approach, case approach, and conceptual approach. The findings reveal that the Covid-19pandemic may be considered as force majeure, provided that the debtor (in the contract) can demonstrate fulfillment of the force majeurecriteria as stipulated in Article 1244-1245 of the Indonesian Civil Code, as well as the International Chamber of Commerce’s Force Majeureand Hardship Clauses. In practice, in determining whether the Covid-19pandemic qualifies as force majeure, the court evaluates whether the following elements are satisfied,the event is unexpected (i.e., the Covid-19pandemic), the event is beyond the debtor’s control, there is no element of negligence of intent, and there is good faith in the part of the debtor.

Item Type:	Journal Article
Keywords:	Force Majeure; Agreement; Covid-19 Pandemic
Subjects:	18 LAW AND LEGAL STUDIES > 1801 Law > 180104 Civil Law and Procedure 18 LAW AND LEGAL STUDIES > 1801 Law
Divisions:	Faculty of Sharia and Law > Department of Sharia Business Law
Depositing User:	Dwi Fidhayanti
Date Deposited:	28 Nov 2024 09:12

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