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Contracts and the Covid-19 clause: scenarios, defaults, solutions

da | 11 Apr, 20 | Uncategorized |

by Simone Facchinetti

A large number of companies are going through a phase of absolute and unprecedented emergency caused by the coronovirus. Let's try to outline the scenario that companies are facing and then outline the possible short- and medium-term strategies that can be put in place.
term strategies that can be put in place:

1. Businesses closing down, blockages or delays in the supply chain, participation in trade fairs postponed until a later date. The emergency situation we are experiencing with all the prohibitions and limitations on business operations are making it impossible (or at least difficult) for many companies to fulfil their contractual obligations, both in Italy and internationally.

2. The cessation of most activities is causing a dangerous phenomenon: the blocking of rent payments. What action can be taken by tenants if they are unable to make regular rental payments, and what are the consequences for landlords?

3. What effect will the inclusion of the so-called "CoronaVirus" clause of the Decree Cura Italia have on contracts? Are Covid-19 emergency certificates issued by local Chambers of Commerce useful?

Read more here

 

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