Automotive supply chain crises pose new questions for litigation

Some companies hit by supply disruption might look to stretch the definition of force majeure, learns Freddie Holmes

Disrupted supply chains are nothing new to the automotive industry. From factory fires, natural disasters and stranded ships to parts shortages and the lasting effects of COVID-19, it has faced its fair share over recent years.

The latest difficult period stems from surging demand for microchips, leaving automakers clamouring for whatever is available and throwing just-in-time (JIT) production schedules out of whack. Inevitably, vehicle deliveries have been delayed and built-in features that rely on these chips have been left out. With so much at stake—both in terms of reputation and possible financial losses—it is no surprise that legal issues can arise during times such as these.

Missed deliveries can result in costly delays further down the line

Laura Baucus, Director of

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