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Hardship clause

A clause allowing renegotiation when unforeseen events fundamentally upset the contract's balance.

Definizione

A hardship clause entitles the parties to renegotiate, adjust or terminate a contract when unforeseen circumstances make performance excessively onerous without making it impossible (which would be force majeure). It puts the statutory doctrine of unforeseen circumstances in article 6:258 BW into contractual form; that doctrine allows a court to modify or dissolve a contract where reasonableness and fairness require it. Such clauses are common in long-term supply, energy and construction contracts.

Esempio

When raw-material prices triple unexpectedly, a hardship clause obliges the parties to renegotiate the agreed price in good faith.

Perché rappresenta un rischio aziendale

Without a hardship clause, a business locked into a long-term contract at a fixed price has limited legal options if circumstances change drastically: the statutory doctrine of article 6:258 BW is available only in exceptional cases and its outcome is uncertain. Conversely, a poorly drafted hardship clause can be exploited by a party that simply wants a better deal, turning a commercially reasonable agreement into a source of persistent renegotiation pressure. The risk of not having one and the risk of having one that is too broad are both real.

Come gestirlo

  • Define the trigger precisely: specify the threshold for "excessive onerousness" (for example a percentage cost increase) rather than leaving it to open-ended judgment.
  • Set a clear procedure for invoking the clause: notice period, documentation required, and a fixed negotiation window before either party may escalate.
  • Include a fallback: if renegotiation fails within the agreed period, specify whether the contract continues unchanged, terminates, or goes to a third-party adjudicator.
  • Align the hardship clause with any force majeure and price-revision provisions to avoid overlap or contradictions.

Riferimenti normativi

Salvo diversa indicazione, i riferimenti riguardano il diritto olandese (Burgerlijk Wetboek, il Codice Civile olandese); gli strumenti UE come il GDPR si applicano in tutta l'UE. Si tratta di informazioni generali, non di consulenza legale. Altre giurisdizioni trattano questi concetti in modo diverso. Verifichi il testo vigente e la propria situazione con un avvocato qualificato.

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