ABSTRACT
In a global context marked by the intensification of environmental regulations and the transition to a circular economy, contractual relationships are increasingly subject to legal challenges related to the impossibility of fulfilling assumed obligations. Legislative changes driven by environmental policies can lead to situations where contracts become excessively onerous or even impossible to perform, raising the issue of invoking justifiable impediments. This topic is particularly important as it reflects current economic realities, where companies and consumers must adapt to a continuously evolving regulatory framework. This study aims to analyse how environmental regulations can constitute a justifiable impediment in contract law, providing insights into how current legislation allows for exemption from liability in such cases. Furthermore, it investigates the differences between international legal systems regarding the applicability of hardship and force majeure clauses, as well as their implications for contractual security.
The methodology employed combines doctrinal and comparative legal analysis, the study of environmental protection regulations, and an examination of relevant case law. Special attention is given to contracts in strategic sectors, such as sustainable industries and green supply chains. The research findings highlight the need for a proactive approach in drafting commercial contracts, incorporating mechanisms for adjusting and renegotiating obligations in response to major legislative changes. Solutions are proposed to mitigate contractual risk, including the introduction of flexible adaptability clauses and clear delineation of circumstances in which justifiable impediments may be invoked.
We consider that the impact of environmental regulations on contractual relationships is an increasingly relevant topic, with significant implications for both economic and legal stability. To prevent contractual deadlocks and commercial disputes, it is essential that both economic operators and legislators adopt a balanced perspective that ensures environmental protection and compliance with contract law principles.
Valeria Praporșcic and Iurie Lisnic, Environmental Regulations and Contractual Risk: When Can Non-Performance Be Justified? (January 2025).
Leave a Reply