Consult Your Attorneys Before Cancelling Contracts Due to the Coronavirus
Radom & Wetter Attorneys have already been fielding calls from our Community Association clients asking if they need to continue various maintenance agreements for common area services which may or may not be used this spring and summer due to the coronavirus.
Even though we are in the midst of the COVID-19 coronavirus crisis, you may not have the legal right to just unilaterally cancel a contract, and by doing so you may be exposing the Association to a breach of contract lawsuit.
When contacted, our attorneys will review your specific agreement and will recommend appropriate steps, which may include:
- Seeking the voluntary cooperation and written agreement of the other party to cancel, or modify it in a mutually acceptable way;
- Invoking a termination without cause provision, if the contract contains one;
- Considering whether you may have a basis for terminating the contract under various NJ legal doctrines such as “frustration of purpose”, “impossibility of performance” and/or “force majeure”.
This is not the time to get caught in litigation because of financial pressures building as a result of the coronavirus. Radom & Wetter Attorneys can help you plan the best path forward to achieve your goals and help protect your Community Association. Give us a call at 908-707-1500 to discuss your options.
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