Supply Chain Disruptions

Anticipating and Managing Contractual and Regulatory Risk

Supply Chain Disruptions create complex legal challenges.
They test the enforceability of commercial contracts, trigger dispute resolution clauses, and often raise questions of liability under domestic and international law.

Our lawyers help clients assess contractual obligations under the Uniform Commercial Code (UCC), the United Nations Convention on Contracts for the International Sale of Goods (CISG), and sector-specific procurement frameworks.
We interpret force majeure, hardship, and change-in-law provisions to determine whether a disruption constitutes excusable nonperformance.

We also assist clients in understanding the regulatory implications—export controls, sanctions, customs restrictions, and labor compliance—that often accompany global supply interruptions.

Building Resilient Commercial Agreements to Withstand Supply Chain Disruptions

The best protection against Supply Chain Disruptions is strong contract design.
We help clients draft and negotiate supply, distribution, and manufacturing agreements that anticipate potential interruptions and allocate risk appropriately.

Our team advises on the use of tiered dispute resolution mechanisms, notice provisions, and price-adjustment clauses to preserve flexibility in uncertain markets.
We also assist in developing supplier codes of conduct, termination-for-convenience rights, and contingency supply arrangements to reduce dependency on single sources or high-risk jurisdictions.

Managing the Intersection of Trade Policy and Supply Chain Disruptions

Supply Chain Disruptions increasingly intersect with regulatory frameworks such as sanctions, export controls, and national security reviews.
We guide clients through compliance with the Export Administration Regulations (EAR), International Traffic in Arms Regulations (ITAR), and similar global regimes.

Our lawyers assist in developing compliance programs that address sourcing transparency, supply chain traceability, and human rights due diligence under laws such as the U.S. Uyghur Forced Labor Prevention Act and the EU Corporate Sustainability Due Diligence Directive.
We also advise on customs classification, country-of-origin labeling, and tariff exposure as companies reconfigure global supply routes.

Protecting Commercial Interests When Performance Fails

When Supply Chain Disruptions lead to nonperformance or delay, litigation often follows.
We represent clients in breach-of-contract disputes, insurance coverage claims, and international arbitration proceedings involving disrupted supply chains.

Our attorneys assess contractual remedies such as liquidated damages, price renegotiation, and termination rights.
We also pursue recovery under business interruption and trade disruption insurance policies, helping clients quantify and recover economic losses.

For multinational clients, we coordinate dispute resolution across jurisdictions, ensuring consistency in claims strategy and regulatory disclosure.

Addressing Supply Chain Disruptions in Federally Funded Projects

Supply Chain Disruptions can jeopardize performance under government contracts, where delivery deadlines and compliance obligations are rigid.
We counsel defense contractors, infrastructure developers, and federal suppliers on how to seek equitable adjustments or schedule relief under the Federal Acquisition Regulation (FAR).

Our lawyers also assist in drafting claims and certified requests for equitable adjustment (REAs) to recover cost overruns caused by material shortages or freight delays.
We advise on compliance with Buy American Act, Trade Agreements Act, and domestic preference requirements when re-sourcing materials becomes necessary.

Leveraging Coverage to Offset Losses from Supply Chain Disruptions

Insurance can play a vital role in mitigating financial damage caused by Supply Chain Disruptions.
We help clients evaluate and pursue coverage under property, business interruption, cargo, and political risk policies.

Our team reviews exclusions, waiting periods, and contingent business interruption clauses to determine coverage scope.
We also assist with preparing documentation for insurer notifications and claims substantiation, ensuring compliance with notice provisions and claim deadlines.
When disputes arise, we negotiate settlements or litigate to enforce policyholder rights.

Addressing Digital Threats as a Key Source of Disruption

Modern Supply Chain Disruptions often originate in the digital realm.
Cyberattacks targeting logistics providers, vendors, or critical infrastructure can paralyze production and distribution networks.

We counsel clients on cybersecurity readiness, third-party risk assessments, and contractual data protection obligations.
Our team develops incident response protocols, vendor security audits, and breach notification procedures to minimize disruption.
We also represent clients in investigations by regulators following cyber incidents affecting supply operations.

Integrating Sustainability into Supply Chain Disruption Strategies

Environmental, Social, and Governance (ESG) principles are reshaping corporate approaches to supply chain management.
We help clients integrate sustainability standards into procurement policies and vendor selection processes.

Our lawyers advise on environmental disclosure obligations, responsible sourcing certifications, and supply chain emissions reporting.
We also assist in structuring sustainability-linked financing and contractual performance incentives that align business resilience with ESG commitments.

Rebuilding Supply Chain Resilience Through Diversification

As companies adapt to persistent Supply Chain Disruptions, many are reevaluating their sourcing and production strategies.
We advise on reshoring, nearshoring, and diversification of supplier networks to reduce dependency on single geographies.

Our lawyers also assist with contract renegotiations, exit management from high-risk regions, and establishment of new manufacturing or distribution hubs.
We coordinate with tax, trade, and labor experts to ensure that restructuring efforts remain cost-effective and compliant with regulatory requirements.

Leveraging Digital Tools to Anticipate and Mitigate Disruptions

Digital transformation offers new tools for anticipating Supply Chain Disruptions before they escalate.
We counsel clients on implementing predictive analytics, blockchain-based traceability, and real-time logistics monitoring technologies.

Our team reviews technology contracts, data-sharing agreements, and vendor compliance clauses to ensure data integrity and legal enforceability.
We also advise on the use of AI-driven supply chain optimization within applicable data protection and competition law boundaries.

Managing International Risks Amid Global Supply Chain Disruptions

Globalized production networks require synchronized legal and logistical strategies.
We advise multinational corporations on managing trade disruptions caused by sanctions, export restrictions, or customs backlogs.

Our lawyers assist in negotiating trade facilitation agreements and revising delivery terms under Incoterms 2020 to allocate risk appropriately.
We also coordinate with international counsel to ensure consistent contract interpretation, dispute resolution, and risk disclosure across markets.

Responding Strategically to Supply Chain Emergencies

When a Supply Chain Disruption occurs, immediate and coordinated action is essential.
We support clients in activating crisis management teams, assessing contractual exposure, and communicating transparently with stakeholders.

Our team develops comprehensive business continuity plans (BCPs) that integrate supply risk monitoring, emergency sourcing protocols, and internal reporting systems.
We also help clients manage post-crisis audits, regulatory inquiries, and contractual renegotiations to restore operational stability.

Integrated Insight. Strategic Resilience. Legal Precision.

At SJKP LLP, our Supply Chain Disruptions practice combines deep regulatory knowledge with practical business acumen.
We assist clients from proactive risk mapping and contract design to post-disruption recovery and dispute resolution.
Our interdisciplinary approach—spanning trade, regulatory, ESG, and technology law—ensures that clients not only survive disruptions but emerge stronger and more resilient in a rapidly changing global economy.