Force majeure: Conflicts, storms, battery fires - what businesses need to know

From ongoing conflicts across the globe to extreme weather events and the sharp rise in industrial fires caused by lithium batteries, severe disruption to UK and global supply chains is putting businesses’ contractual rights and obligations firmly under the spotlight. If your business is caught up in these events, understanding where you stand legally is essential.

These disruptions are leaving many businesses unable to meet their contractual commitments, and both sides of the equation are feeling the pressure. Parties who have failed to perform are finding it harder than expected to claim relief, while those on the receiving end are seeking to minimise the prospect of such relief being granted. So, what should you be thinking about?

In this instalment of our Navigating supplier performance series, we look at force majeure in the context of conflict-related disruption, extreme weather events such as storms, and the growing risk of lithium battery fires, and consider the key questions your business should be asking.

What is force majeure?

A force majeure event can excuse a party from performing its obligations or from doing so on time. Force majeure clauses are provisions in a contract that can change a party's obligations or liabilities when an extraordinary event or circumstance beyond their control prevents them from fulfilling those obligations. In short, they are a possible contractual safety net when the unexpected happens.

These clauses often list specific triggering events, such as acts of gods, fire, flood, storms or other extreme weather, and may also include broader catch all wording, such as "or any other causes beyond our control". The detail matters and getting it right can make or break a claim. If the event is not listed i.e. conflict or geopolitical unrest, then you will inevitably fall on the first hurdle.

Even if conflict, extreme weather or industrial fire caused by lithium-ion batteries is mentioned, whether a particular clause relieves a party of liability will depend on several factors, including:

• the precise wording of the clause;
• how risk is allocated across the contract as a whole;
• the circumstances in which the contract was entered into; and
• the situation that has arisen.

Importantly, the burden falls on the party seeking to rely on the clause to demonstrate that it applies. This means that if you are the one claiming force majeure, you will need to come prepared with clear evidence.

Most force majeure clauses will specify the level of impact the event must have before the clause kicks in. For example, the clause may refer to the event having "prevented", "hindered" or "delayed" performance, each of which sets a different bar for the party seeking relief.

A party relying on a force majeure clause will also typically need to show:

1. a causal link between the event and the inability to perform or the delay;
2. the non-performance was due to circumstances genuinely beyond their control;
3. there were no reasonable steps they could have taken to avoid or reduce the impact.

Businesses affected by force majeure events should actively explore whether alternative ways of performing are reasonably available, even if they come at a higher cost, unless doing so would mean breaching other existing contracts.

It is also important not to overlook the procedural requirements. Most force majeure clauses require formal notice to be given within a specific timeframe and in a particular form. Failing to comply with these requirements could undermine an otherwise valid claim, so this is an area where early attention really pays off.

If the strict requirements of a force majeure clause are not met, the parties may need to fall back on a commercial solution, such as temporary arrangements, revised delivery schedules or contract variations. Businesses should approach these discussions carefully, as the other party may look to use the situation to their advantage. Taking legal advice before entering into these conversations is always sensible.

Lithium battery fires: An emerging risk for supply chains

Alongside geopolitical disruption and extreme weather, lithium battery fires are rapidly becoming a significant source of supply chain disruption. According to recent data, UK fire services attended approximately 1,760 lithium battery fires in 2025, an increase of 147% over the last three years. These fires are not confined to consumer settings. They increasingly affect commercial premises, waste and recycling centres, warehouses, logistics facilities and manufacturing sites, where lithium powered devices or battery storage units are present. For businesses with exposure to these environments, the risks are real and growing.

Whether the affected party can rely on a force majeure clause will depend on:

1. Does the clause cover fire or equipment failure?
2. Was the fire genuinely beyond the party's control, or could it have been prevented through proper storage, charging or maintenance protocols?
3. Were reasonable steps taken to mitigate the impact, such as sourcing from alternative suppliers?

These questions are particularly acute where the fire results from non-compliant or unregulated battery products, as a court may find that the risk was foreseeable or avoidable. This is an area where the facts on the ground will be closely scrutinised.

Lithium battery fires also present significant evidential challenges. When a battery enters "thermal runaway", it can destroy itself and surrounding evidence within seconds, making it difficult to establish causation, identify liable parties within complex global supply chains, or determine whether the affected party took adequate precautions. Acting quickly to preserve whatever evidence remains is therefore critical.

Key takeaways: Practical steps for businesses

Whatever the cause of the disruption, there are a number of practical steps your business can take to protect its position:

• Review the precise wording of any force majeure clause carefully, including whether it refers to specific triggering events.
• Actively explore alternative ways to perform, reduce delays, or minimise losses for the other party.
• Serve any required notices as soon as possible and in strict accordance with the contract's notice provisions.
• Do not rely on increased costs alone to excuse non-performance or delay, this will rarely be sufficient.
• Keep a clear documentary record, particularly of why performance was impossible, hindered or delayed; the steps taken to find alternatives and reduce losses; and any notices served.
• Consider strengthening your contractual protections for the future, such as an express right to terminate after an extended period of disruption, or a step in provision allowing temporary use of alternative suppliers during periods of disruption.
• Assess whether extreme weather, lithium powered devices or battery storage on your premises or your suppliers' premises could give rise to supply chain risk, and review insurance coverage and business continuity planning accordingly.
• Where a lithium battery fire has caused disruption, act quickly to preserve evidence, instruct specialist investigators, and trace the supply chain for the relevant product, early action is critical to establishing causation and identifying recoverable targets.
• Where there is no force majeure clause, other contractual remedies such as frustration may be worth considering, but businesses should be mindful of the high bar involved and the fact that, if established, it will release both parties from their obligations under the contract.
• It is worth considering whether contractual variations can be negotiated to find a workable path forward.

Supply chain disruption can create significant commercial and legal challenges, often at a time when businesses are already under considerable operational pressure.

If you have questions about force majeure or supply chain disruption, please do get in touch with Chris Owen, Andrew Bayley or Sam Peace in our Commercial Dispute Resolution team. We would be happy to talk through your situation and help you find the best way forward.

Watch Sam Peace and Chris Owen discuss force majeure in the video below

This publication is intended for general guidance and represents our understanding of the relevant law and practice as at September 2026.  For more information see our terms & conditions.