A hurricane makes landfall on the Mississippi Gulf Coast. Roads close, power disappears, shipments stop, and a vendor suddenly cannot deliver. Then comes the notice: the other party says the storm is a “force majeure” event and claims it no longer has to perform.
For a business owner facing force majeure under a Mississippi contract, the practical question is straightforward: Does this clause actually let them off the hook, or does it let me off the hook?
The answer usually requires more than identifying an extraordinary event. It requires examining the contract language, what actually prevented performance, what the parties agreed would happen after such an event, and Mississippi law.
Rushing & Guice can help you evaluate the force majeure provision, determine which obligations may remain enforceable, and develop a practical response to the disruption. The firm understands how major storms and other unexpected events can affect local commercial relationships.
Does a Hurricane Automatically Cancel a Contract?
No. Whether a hurricane excuses performance depends primarily on the contract’s terms and how the storm affected the parties’ obligations.
Mississippi Gulf Coast businesses understand hurricane risk in a way businesses elsewhere may not. Hurricane season runs from June 1 through November 30, and the Mississippi Emergency Management Agency (MEMA) reports that the record-setting 2020 Atlantic hurricane season produced 30 named storms and six major hurricanes. MEMA also notes that Hurricane Katrina killed 231 people in Mississippi, destroyed thousands of homes, and caused billions of dollars in damage.
Those storms can also disrupt commercial relationships long after the wind stops blowing.
A force majeure clause generally addresses extraordinary circumstances beyond a party’s control that interfere with contractual performance. Common examples include hurricanes, floods, fires, wars, strikes, government orders, epidemics, transportation disruptions, and utility failures.
The starting point is the contract itself. A Mississippi federal court made that point particularly clear in Day v. Tenneco, Inc. There, the defendants argued that an unexpected market collapse and regulatory changes constituted force majeure. The court rejected that position, explaining, in substance, that the mere occurrence of something unexpected was insufficient. The contracts had allocated the relevant market risk, and the parties remained bound by that allocation.
In other words, the question is not simply, “Did something extraordinary happen?” It is also, “What did your agreement say would happen if it did?”
How May a Force Majeure Clause in a Mississippi Contract Be Evaluated?
Evaluating a force majeure clause generally begins with its language and the event’s actual effect on performance. When a dispute arises, several questions can become critical:
- Does the clause cover this particular event? A provision specifically identifying hurricanes, severe weather, floods, epidemics, government shutdowns, transportation interruptions, or supply shortages provides considerably more direction than a vague reference to events “beyond the parties’ control.”
- Did the event actually prevent the required performance? A storm affecting the Gulf Coast does not necessarily excuse every contractual obligation throughout Mississippi. The party invoking the clause may need to establish a connection between the event and its inability to perform
- Was the problem truly outside that party’s control? Force majeure is generally not designed to rescue a party from an ordinary business problem, poor planning, or a risk that the contract assigned to that party.
- Did the party comply with the notice requirements? Your contract may require written notice within a certain period and may require the notice to explain the event, its impact, and its expected duration.
Mississippi’s standard clauses for certain state service contracts provide a useful example: they require immediate written notice describing the cause of the inability to perform, how performance is affected, and the anticipated duration.
That means a force majeure notice sitting in your inbox should not automatically be accepted or rejected without reviewing the underlying agreement.
How Does Hurricane Force Majeure Apply in Mississippi Business Contracts?
Hurricane force majeure may provide relief when a storm prevents performance, but the type and extent of that relief depend on the contract.
Consider a Gulf Coast contractor waiting for specialized materials. A major hurricane closes the supplier’s facility, interrupts freight routes, and leaves the region without reliable electricity. If the contract expressly includes hurricanes, natural disasters, transportation interruptions, or supply-chain disruptions, the contractor may have a stronger argument for relief. But what kind of relief?
That is another important distinction. A force majeure clause may:
- Suspend performance temporarily,
- Extend a delivery or completion deadline
- Excuse particular obligations,
- Permit termination after a specified period, or
- Allocate certain losses between the parties.
It does not necessarily cancel the entire agreement. Mississippi law illustrates this distinction in contracts involving the sales of goods. Mississippi law provides that deliveries may be suspended when specified circumstances, including an “act of God,” flood, inability to obtain power or raw materials, transportation problems, or another cause beyond a party’s control, prevent manufacture, shipment, acceptance, or consumption of the goods. The statute further provides that suspended deliveries are canceled without liability while the remainder of the contract is unaffected.
Whether that particular statute applies to your particular agreement depends on the transaction. It should not be treated as a universal escape clause for every Mississippi commercial contract.
Can You Excuse Performance of a Contract in Mississippi Without a Clear Clause?
Possibly, but the available defense depends on the type of contract and the circumstances that prevented performance. What if your contract has no force majeure provision, or the provision does not clearly cover the event that occurred?
The absence of a clear clause does not necessarily end the analysis. For contracts involving the sale of goods, Mississippi law may excuse a seller’s delay or failure to deliver, or a buyer’s failure to take delivery, in certain circumstances. Under that statute, the delay or failure to deliver may not constitute a breach when an unexpected event makes performance commercially impracticable. The rule applies when the parties entered the contract on the basic assumption that the event would not occur.
Mississippi law also specifically addresses disruptions caused by events such as floods, inability to obtain transportation or raw materials, and other causes beyond a party’s control.
Whether you can excuse performance of a contract in Mississippi will ultimately depend on the type of contract, its specific terms, the event that occurred, and how that event affected the parties’ ability to perform.
What Should You Do After Receiving a Force Majeure Notice?
Review the agreement and preserve evidence of the event’s actual effect before accepting or disputing the notice. If another company has invoked force majeure, or if your company is considering doing so, what you do next can affect your contractual rights.
Start by preserving the contract, amendments, purchase orders, notices, emails, shipping records, government orders, supplier communications, and evidence showing how the event affected performance. Then examine the clause carefully. Identify the covered events, notice requirements, mitigation obligations, deadlines, exclusions, and remedies.
Most importantly, do not assume that “force majeure” means the contract disappears. A supplier may be entitled to additional time but not termination. A contractor may be excused from a particular deadline but remain responsible for other obligations. Alternatively, the facts and contractual language may show that the event genuinely prevents performance and triggers broader protection.
Protect Your Business Before the Next Storm
The best time to understand a force majeure provision in a Mississippi contract is before disaster strikes. The next best time is immediately after receiving, or considering sending, a force majeure notice.
For more than 100 years, Rushing & Guice has provided legal services and counsel to businesses and neighbors throughout the Gulf Coast of Mississippi. The firm has weathered hurricanes alongside the communities it serves while maintaining a focus on legal excellence, professionalism, personal attention, value, and practical results.
If a hurricane, severe weather event, supply-chain disruption, public health emergency, or other unforeseen event has disrupted one of your company’s contracts, Rushing & Guice can review the agreement, evaluate the force majeure provision, and help determine the appropriate next step.
Contact Rushing & Guice before accepting the other party’s claim or invoking force majeure yourself to find out what your contract actually allows.
