1. RISK MANAGEMENT

2. ANALYZE THE RISK • Identify, characterize and assess risk
Describe possible events based on the contract clauses as applied to the contractual relation
• Estimate the likelihood and consequences of each identified risk
Consider both the likelihood of facts and the likelihood of a relevant interpretation of the contract clauses
• Evaluate the risks, distinguishing between acceptable risks and those risks that should be considered for treatment
• Consider how risks can be treated through practical measures or a suitable contract amendment

3. MANAGE THE RISK Prioritize risk reduction measures based on a strategy
Strategies to manage risk :
Avoiding the risk
Eliminating the risk
Withdrawing from the situation
Sharing the risk
Transferring the risk to the other party
Taking insurance
Reducing the negative effect of the risk
Accepting some or all of the consequences of a particular risk

4. 3. ASSIGNMENT
From the point of view of your company, discuss the risks involved in the contract
Draw up your plan for risk reduction measures