What is hardship clause

Hardship clause is a clause in a contract that is intended to cover cases in which unforeseen events occur that fundamentally alter the equilibrium of a ...

What is a hardship contract?

Hardship clause is a clause in a contract that is intended to cover cases in which unforeseen events occur that fundamentally alter the equilibrium of a contract resulting in an excessive burden being placed on one of the parties involved.

What circumstances are classified as hardship?

Hardship means deprivation, suffering, adversity, or long-term adverse financial impact in complying with the title plant requirement that is more than minimal when considering all the circumstances.

What is the principle of hardship?

The principle of hardship ("clausula rebus sic stantibus, "Wegfall der Gesch๏tsgrundlage","frustration of purpose") provides that the continued enforceability of a contract is always subject to the continued existence of those circumstances which prevailed at the time of contracting and which formed the basis for the ...

What is force majeure and hardship?

Force majeure applies to cases where performance has become (temporarily) impossible due to an event beyond one party's control although all reasonable precautionary measures had been taken. Hardship deals with cases where the agreed performance is basically still possible.