In this video, our Polk County breach of contract attorneys explain how the Iowa Supreme Court defines force majeure provisions as a clause that “allocate(s) the risk if performance becomes impossible or impracticable as a result of an event or effect that the parties could not have anticipated or controlled.” The Iowa Supreme Court noted that these clauses aren’t intended to shield a party from normal risks associated with an agreement. A small number of courts have actually analyzed the application of force majeure provisions to the current Covid-19 pandemic and the rulings have been split. Most of the split has come due to the language of the clause within the contract. Should the clause be broadly defined, you may be able to terminate and walk away from your contract.  

In this video, our Polk County breach of contract attorneys explain canceling a contract after it’s been signed, the FTC’s “three-day rule,” and how the ability to cancel depends on the industry or item being sold. For purchases above $25 made in the home or at your place of work, you have the right to cancel the contract within three business days as long as the transactions are purchased, leased or rented primarily for personal, family or household reasons. “Buying clubs” are membership groups that allow you to buy certain goods and services at a discount. The three-day policy should apply to all types of buying clubs. Suffice to say, be cautious and read the contract thoroughly with any business opportunity. In Iowa, the three-day cancellation period also covers the sale of a business opportunity regardless of the location where the sale took place. The business opportunity must include an initial investment of $500 or more and the seller must agree to provide the materials, goods, education, etc that the buyer needs to start the business, as well as follow Iowa law with regard to business opportunities and franchises. Timeshares often tout their own cancellation policies as part of the high-pressure sales pitch, but generally, you have 5 business days to cancel a timeshare contract after the seller delivers all the information concerning the assets and liabilities of the timeshare estate.