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Building Law Monthly

Force majeure and indirect or consequential loss or damage

In 2 Entertain Video Ltd v Sony DADC Europe Ltd [2020] EWHC 972 (TCC) O’Farrell J held that a force majeure clause did not protect the defendant from liability for damage caused by fire started by rioters because the fire and resulting loss were not beyond the reasonable control of the defendant. While the defendant was entitled to rely on a contractual cap of £5m, the clause which excluded liability for indirect or consequential loss was held not to apply to the claims brought by the claimants which were claims to recover in respect of the direct losses which they had suffered as a result of the fire.

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