Jurisdiction(s):
United Kingdom

Iran Conflict: English Law Contract and M&A Disputes Loom—Force Majeure, Sanctions, Energy Volatility, Supply Chains and UK Supreme Court’s RTI v MUR

Published on: 02 April 2026

Published by a Law360 reporter

Legal News

Article summary

Although substantial claims have not, as yet, reached the courts, solicitors report a pronounced upswing in advisory mandates as businesses scrutinise their contractual exposure across supply networks, energy markets and cross-border transactions.

Mark Molyneux, a partner at Addleshaw Goddard LLP, has described the position as a 'hybrid' of the Russian invasion of Ukraine and the COVID-19 pandemic.

The present turmoil fuses the pandemic’s supply chain disruption with energy price shocks and sanctions regimes tied to the conflict in Ukraine.

This overlap is already exerting pressure on several important dispute categories.

Disruption in supply chains, notably relating to raw materials and rare earth minerals, is emerging as an early flashpoint for parties.

At the same time, sustained volatility in energy markets is affecting contractual performance across sectors, including aviation, transport and manufacturing.

There are also questions over sanctions, tariffs and regulatory constraints from clients at present too.

'Given the disruption to supply chains, what we are observing most immediately is a significant increase in requests for advice on contractual interpretation—particularly around force majeure—together with client questions about insurance cover and adherence to sanctions,' said Stuart Paterson of Herbert Smith Freehills Kramer LLP...

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