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Showing posts from January, 2023

COVID19 and Force Majeure (aka "Act of God") Contract Clauses

Welcome to 2023 everyone!  While the New Year brings opportunities for change and growth, it also serves as a good point to look back on past years to see if we can glean any insights that can serve us well in the future.   Per the title of this post, COVID19 caught most organizations off guard.  No surprise there.   As such, we’ve seen cloud software customers reach out to their cloud software providers to request some form of invoice alleviation or leniency as a result of changes in their organization (staff, funding, etc.) brought on by the pandemic.  When times are tough, every opportunity to more closely manage expenses is considered.  In the majority of cases, the unfortunate response was “Sorry, but the invoice is still due on time and in full”.  At most, the payment terms could be adjusted to give a bit more breathing room (i.e. Net30 to Net45), but the actual subscription cost wasn’t going to be touched.  Given how cloud software companies measure their success and report prof