Rethinking hardship clauses in times of changing climate

摘要

The compelling scientific data demonstrating that climate change results in serious harm to the planet and makes extreme weather events more likely~1 does not make it any easier to predict the occurrence of specific weather events, including those related to climate change. The unpredictable nature of such events and the impact that they will have pose a myriad of environmental, legal, physical and, ultimately, financial risks to contractual counterparties. The commitments that states have made to combat climate change may also affect contractual performance.~2 While parties traditionally allocate business risks when contracting, these climate change-related risks are now more likely than ever to materialise and require careful consideration by contracting parties.