Where one can get a force majeure certificate Printable versionLast update: 13.05.2021
Pursuant to the Civil Code of the Republic of Kazakhstan, a person is exempt from liability if violation of obligations occurred in the result of insurmountable circumstances (force majeure).
One needs to prove that a proper execution of contract became impossible due to force majeure. The occurrence of force majeure circumstances can be proved by written and other evidence.
Force majeure certificate issued by the Chamber of Commerce of Kazakhstan (CCK) can serve as an evidence.
In this regard, obtainment of certificate by Kazakhstani entrepreneurs who are unable to fulfill contract obligations due to the pandemic may prove to be useful.
Who performs force majeure evaluation?
The insurmountable circumstances can be divided into force majeure circumstances and "Hardship" circumstances:
1) force majeure refers to extraordinary and unavoidable circumstances that prevent or make it practically impossible to properly fulfill obligations for the occurrence of which the obligated party is not responsible, and the occurrence of which could not have been foreseen and/or prevented, including but not limited to:
- disasters of natural and man-made nature, hurricanes, cyclones, earthquakes, tsunamis, floods, destructions due to lightning, etc.;
- military actions, declared or undeclared war, riots and revolutions, acts of piracy, sabotage;
- decisions and/or actions/inactions of government agencies, etc.;
- boycotts, strikes and lockouts in any form that slow down the work of companies, which leads to halt in work;
- explosions, fires, destruction of machines, factories, installations, etc.
2) “Hardship” circumstances refer to situations where a significant change in the circumstances of the parties independent of their will makes execution of a contract (agreement) too burdensome.
Lack of necessary goods, works or services on the market, does not apply to force majeure and "Hardship" circumstances.
The Chamber of Commerce of Kazakhstan (a subsidiary of "Atameken" National Chamber of Entrepreneurs of the Republic of Kazakhstan) evaluates force majeure circumstances based on the terms of foreign trade transactions and international treaties of the Republic of Kazakhstan (pursuant to the decision of the Board of "Atameken" National Chamber of Entrepreneurs of the Republic of Kazakhstan as of August 12, 2014 No. 42).
One can get the list of documents required for obtainment of force majeure certificate by sending an application to one of the following e-mails:
Tel.: + 7 7172 27 90 54; 27 90 55; 27 90 56; 27 96.
Which documents are required for obtainment of force majeure certificate
The following should be provided to obtain the certificate:
- Written application with an attachment, thus, for legal entities this is certificate of registration/re-registration, while individual entrepreneurs should provide certificate of registration as an individual entrepreneur;
- Scan copy of contract, specifications, appendices, addendum to contract;
- Scan copies of documents issued by authorized authorities on the territory of the Republic of Kazakhstan that confirm the inability to fulfill contractual obligations (acts of government agencies, including local representative and executive bodies (public acts) except for well-known circumstances.
If a company fails to fulfill its obligations under foreign economic transactions, it is necessary to provide an official document (certificates, letters, notifications, orders, instructions, etc.) to CCK issued by the Chamber of Commerce and Industry or another authorized organization of the counterparty country (for example: in the PRC it is China Council for the Promotion of International Trade).
If necessary, the Chamber of Commerce of Kazakhstan may request additional documents in order to issue a statement on insurmountable circumstances (force majeure).
Upon confirmation of occurrence of insurmountable circumstances (force majeure) or "Hardship" circumstances, an official CCK statement drawn up in the form of certificate is issued to the applicants.
The period for consideration and issuance of CCK certificate cannot exceed 15 (fifteen) working days from the date when an applicant submits a complete package of documents.
Upon a written application from concerned parties, CCK can evaluate insurmountable circumstances (force majeure) and "Hardship" circumstances that occurred on the territory of other countries on a paid basis.
In the event that force majeure occurred outside the Republic of Kazakhstan, it is additionally necessary to submit an official document (certificates, letters, notifications, orders, instructions, etc.) issued by a relevant body (organization) of a foreign country on the territory of which insurmountable circumstances (force majeure) occurred, except for well-known circumstances.
The force majeure certificate is not an unconditional confirmation of force majeure occurrence.
The certificate is issued for each contract (agreement) separately.
CCK can provide an applicant with a duplicate of previously issued certificate, if there is a written request (application).
The issued certificate is not a legal act granting the right or exempting from liability.
If a counterparty does not agree with the issued certificate, the final decision is made by the court.
The force majeure certificate is issued to an applicant in a sealed form on the official letterhead of CCK.
The certificate indicates: names of the parties to the contract (agreement), its number and date of conclusion, venue, time, period during which extraordinary and unavoidable circumstances took place under these conditions, a reference to the provided original documents issued by competent authorities, which certify and confirm insurmountable circumstances (force majeure), official correspondence between the parties (if any), etc.
What is the cost of force majeure evaluation service?
The evaluation of insurmountable circumstances (force majeure) and "Hardship" circumstances is carried out by CCK on a paid basis under an agreement concluded with an applicant.
From October 30, 2020, pursuant to the Order of the Chairman of the Board of "Atameken" National Chamber of Entrepreneurs of the Republic of Kazakhstan, the procedure for evaluation of insurmountable circumstances (force majeure) for entrepreneurs fulfilling obligations in the field of public procurement, quasi-public sector procurement, as well as subsoil use is carried out on a paid basis.
The cost of force majeure evaluation service is as follows:
- legal review of documents: 15 MCI;
- evaluation of insurmountable circumstances (force majeure) and "Hardship" circumstances:
2) if an amount of overdue obligation is more than KZT 100.000: 1% from the amount of overdue (unfulfilled) obligations under an agreement (contract), but not more than 850 MCI.
The service fee is given exclusive of VAT.