How to get a certificate of force majeure from the Chamber of Commerce and Industry?

Today, many areas of business have suffered due to the world quarantine. That’s why a large number of entrepreneurs are now trying to find a way out of the situation and solve the pressing issues. One such question is whether it is possible to postpone the fulfillment of the contractual obligations due to force majeure?

We have already discussed this issue in our previous publications, so today we will talk more about the nuances of using force majeure and obtaining the certificate of the Chamber of Commerce and Industry.

Read also: How To Terminate A Lease Agreement During Quarantine? 

Is coronavirus a force majeure if it is not explicitly stated in the agreement?

The first thing to understand is that force majeure only exempts from liability for breach of contractual obligations, but does not release from the obligation itself.

The Verkhovna Rada has amended the law, including such event as “quarantine established by the Cabinet of Ministers of Ukraine” to the definition of “force majeure”.

That is, the fact of establishing a quarantine regime in the country already refers to force majeure events, and, accordingly, it relieves your activity from legal liability for breach of your contractual obligations. Simply put, only those who have been directly affected by quarantine restrictions will be exempted from this liability.

Business areas that are directly affected by a quarantine regime include:

• Shopping and entertainment centers;
• Non-food stores;
• Schools, universities;
• Passenger transportation, etc.

So, if your company, for example, has concluded a Passenger Transportation Services Agreement, and the number of passengers transported exceeds 10 persons, it means that due to restrictions imposed by the Cabinet of Ministers, you will not be able to fulfill the obligations under the agreement. Therefore, you will not be held liable for breach of these obligations.

Read also: How To Properly Formalize The Transfer Of Employees To Remote Work Or Quarantine?

If quarantine is not explicitly listed in the force majeure clause of the agreement, the fact of its existence can be proved. The best option would be to apply to the Ukrainian Chamber of Commerce and Industry for a Force Majeure Certificate.

The procedure for obtaining the Force Majeure Certificate at the Ukrainian Chamber of Commerce and Industry

You can apply to the Chamber of Commerce and Industry for this Certificate only in case of breach of contractual obligations. That is, if your Service Agreement does not specify quarantine as a force majeure event, but its validity period has not yet expired, and you already want to apply to the authority to confirm this fact, then your application will be rejected.

The list of documents that must be submitted to the Ukrainian Chamber of Commerce and Industry to obtain the Force Majeure Certificate:

• An application signed by the company’s director;
• A copy of the agreement (which will confirm the circumstances);
• Copies of the order or decree on the termination of business activity on the basis of the respective regulations (copies of the respective regulations should also be added);
• A notice of the other party (which will confirm that the other party has been notified of the occurrence of a force majeure event);
• The applicant’s data on the extent of obligations fulfilled and unfulfilled (separately).

The period of obtaining the Certificate is 7 business days. If the Certificate is rejected, the decision can’t be appealed.

So, if you want to understand how to prepare your application for the Force Majeure Certificate in order to avoid the liability for breaching an agreement with the counterparty, don’t hesitate to contact us.

We can help you make head of the situation and quickly obtain the the Force Majeure Certificate to protect your business.