“Is it Force Majeure?”

April, 2026 | Ship.Energy

Simms Showers Principal Steve Simms examines how force majeure clauses apply in the bunker (marine fuel) industry, especially amid geopolitical disruptions like the 2026 Middle East conflict. Force majeure allows parties to avoid or suspend contractual obligations when extraordinary, unforeseeable events occur—but only if the contract clearly defines those events.

It does not automatically apply just because circumstances become difficult or expensive. Contracts must explicitly list or clearly cover the event being relied on. The event must be specifically covered in the contract. Performance must be impossible or prevented, not just more costly.

Parties must prove the event caused non-performance, give notice and attempt to mitigate the impact. Price increases or economic hardship alone are not force majeure.

Force majeure is not a catch-all escape—it depends entirely on contract wording. Specificity is critical: vague clauses create risk. Force majeure clauses are a core risk management tool in the bunker industry—but only well-drafted, detailed clauses provide real protection in crises.

Read the full article and details of considerations here: “Is it Force Majeure?”