Reza Moradinejad, ‘Relevance of Contract Law Solutions Under a Pandemic’

… Notwithstanding the specific cause of non-performance in each of the above-mentioned situations, we may agree on one point: several contracts can no longer be performed as expected. While a contract is the most effective tool to proceed to risk allocation, it is reasonable to ask whether or not this allocation depends on the stability of the surrounding circumstances. This reminds us of the old opposition between two maxims: pacta sunt servanda and rebus sic stantibus. The question is whether or not the contracting parties should respect the initial risk allocation despite all challenges brought about by the drastic changes in the surrounding circumstances? For Quebec contract law scholars, the most intuitive way to answer this question is to seek a solution from within contact law. Two traditional contractual doctrines exist which aim to put forward a solution to the risk allocation problem …

Reza Moradinejad, Relevance of Contract Law Solutions Under a Pandemic, Opinio Juris in Comparatione 1/2020.

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