In their March 3, 2020 Law 360 article, our colleagues, Rob Patterson and Shu-Shu Wong, commented on the trend of certain buyers evaluating the feasibility of invoking force majeure as an excuse for not performing their purchase obligations under their liquefied natural gas long-term sale and purchase agreements (LNG SPAs) due to the COVID-19 outbreak. That article looked at the situation from an English perspective; this article will focus more on contracts governed by New York or Texas law, based on our experience with many U.S.-based LNG projects that have come online in recent years.
Read the full alert here.
