In accordance with the principle of party autonomy of international private law parties to an international transaction are entitled to select applicable substantive law or rules of law. The rationale behind this principle is to provide an opportunity to select a legal framework, which shall apply, among others, in a case of any disagreements or disputes arising from the transaction between the parties.
DAVAMINI OXU “Limitations on the principle of private international law party autonomy”
Unlike short-term ones, long-term contracts generally include clauses regulating changed circumstances. Two main concepts related to changing situations are force majeure (or vis major) and hardship.
Force majeure is a civil law concept that has no real meaning under the common law system. In more general terms, force majeure occurs when the performance of a contract is impossible due to unforeseeable events beyond the control of the parties.
DAVAMINI OXU “Force majeure (or vis major) and hardship are two concepts that govern situations of changed circumstances in international commercial contracts”