Force majeure and changed circumstances during the COVID-19 pandemic: the case of sports service contracts and judicial responses in China

Abstract

This paper aims to explore the impact of COVID-19 on the performance of sports service contracts in China from a legal and judicial perspective. It attempts to contribute to the discussion on the applicability of the doctrines of force majeure and change of circumstances in the cases of impracticability of performance or obstructed performance due to COVID-19 and consequent government enforced pandemic control policies and measures. It reveals that courts in China have adopted a differentiated, pluralist, and practical approach according to the degree of the impact of COVID-19 preventive and control measures on the performance of contracts. The juridical responses by judges tend to favour the amendment of contract under the principle of changed circumstances with a view to balancing the interests of both parties to the contract and reducing the impact on the operations of the sport service industry. China’s experience suggests that it is important that courts adhere to the principle of fairness, the principle of balance of interests, and the principle of encouraging transaction in dealing with contract performance disputes caused by COVID-19, while the applicability of force majeure should be carefully examined in judicial practice.