Brexit, Covid, energy costs... and now war

Supply chains have faced widespread difficulties over recent times. The impact of global events on the availability of goods and the effect on prices is regularly reported and businesses (and consumers) are feeling the squeeze daily.

The cumulative effect of all these events (and the latest situation in Ukraine) is bound to be that parties are continuing to look at their contracts to see (on the one hand) how they can resist pressure from their suppliers who are looking to increase prices and (on the other) pass the increased cost of manufacturing, distributing and supplying goods and services on to their customers. If availability is an issue or an alternative source of products is out of the question, where do businesses go from there?

It is a dilemma boards will be carefully considering and it certainly won't become any easier for them or consumers, over the coming months. So risk allocation and management in contracts should continue to be on the agenda.  


This information is for general information purposes only and does not constitute legal advice. It is recommended that specific professional advice is sought before acting on any of the information given. Please contact us for specific advice on your circumstances. © Shoosmiths LLP 2024.



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