ARTICLE
13 May 2026

What Can You Do If The Current Iran Conflict Impacts Your Contracts?

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Stephenson Fournier

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When geopolitical tensions escalate into real-world disruptions, commercial performance can become delayed, constrained or impossible. Conflicts can threaten shipping lanes, create port constraints and lead...
United States International Law
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When geopolitical tensions escalate into real-world disruptions, commercial performance can become delayed, constrained or impossible. Conflicts can threaten shipping lanes, create port constraints and lead to sanctions, export controls or sudden government directives.

In these moments, force majeure notices tend to spike because supply chains and cross-border obligations collide with fast-moving events outside either party’s control. The current military crisis is no exception. Businesses receiving these notices need to move quickly and strategically to understand whether the claim is valid, protect contractual rights and limit downstream exposure.

A notice is not the end

force majeure notice is not automatically valid simply because it is sent, or because conditions in the region are widely reported. To enforce these contractual clauses, the other party must prove that the event falls within the scope of the contract’s wording, that the event actually caused the party’s inability to perform the specific contractual obligation and that the person or company trying to invoke that clause fulfilled their own responsibilities. This can open up a wide variety of options even if the other party claims that they cannot fulfill their part of your agreement.

How can you respond?

When another person or business sends a force majeure notice — especially in the middle of a fast-moving crisis — how you respond in the first days can determine whether you preserve leverage.

First, consider whether the issue actually qualifies as a breach. A premature or unsupported force majeure declaration can sometimes allow you termination and damages options. The person invoking a force majeure clause must be the one to prove that there was a breach, and if they cannot it is important for you to take steps to protect your interests. Because the stakes are high, this is usually where tight legal analysis is essential before you escalate.

Be sure to review the force majeure and notice provisions. Confirm what the clause requires of both you and the other party as well as any deadlines you have to respond. Some contracts require prompt objection, demand for information, or dispute escalation within specific timeframes. Remember that the other party can view a lack of response as acceptance.

Ask for clear reasons and build a paper trail. Ask for specifics and supporting documents showing what happened, which precise obligation is allegedly impacted, why the impact occurred and what the other party is doing in response. A clear written request strengthens your position in negotiations and can become critical evidence if the dispute escalates.

Then, explore alternatives. You may have reasonable workarounds like alternate routes or carriers, substitute sourcing or partial performance. These can ensure you get at least some of the benefits of the agreements you rely on. Your leverage depends on:

  • availability of substitutes,
  • contractual flexibility on sources/specifications,
  • lead times,
  • legal restrictions versus commercial inconvenience.

Be sure to get any workarounds or alternatives in writing to further protect your business. At the same time, review your rights with an experienced attorney to ensure that you have not overlooked any options.

The guidance you receive now can help protect your business and its interests

The outcome of a force majeure notice can depend on the details of your agreement and the state or federal laws that govern your contracts. That is why it is important to take steps to protect your business as soon as possible after receiving a force majeure notice.

This is an area where speed and process matter. A careful early response and guidance from an experienced business law attorney can prevent a weak notice from becoming a threat to your business.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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