Force Majeure in the Age of Geopolitical Shock and Energy Security

AI Summary

The ongoing closure of the Strait of Hormuz has raised significant concerns regarding force majeure declarations in the face of energy security issues. Industry leaders are evaluating the complexities surrounding this situation and its implications for global shipping operations.

As the Strait of Hormuz enters its eleventh week of effective closure with hundreds of vessels at anchor and roughly one-fifth of the world’s seaborne oil trade at a standstill, a recurring question asked by industry leaders globally is: does this trigger force majeure? The answer depends on the precise wording of the force majeure ...