Template:M summ IETA Force Majeure

As per the overview, Force Majeure is substantially the same idea as “Settlement Disruption Event” in the ISDA EU Emissions Annex.

It is an event that, in each format:

• Is beyond the “affected party’s” reasonable control (having taking “all reasonable steps” to control it)
• Renders the delivery impossible to perform, acknowledging that this might be a problem at either end
• It excludes simply not having enough Allowances in your account, even if that is a result of some failure by a responsible official agency to issue Allowances in your account (as part of your annual allocation) or to replace stale allowances with fresh ones
• The hierarchy of Events of Default, Suspension Events and Force Majeure/Settlement Disruption Events is also the same.