What happens to F&O contracts when the underlying stock hits upper or lower circuit limits?

When a stock hits upper or lower circuit limit the underlying futures and options contracts keep on trading irrespectively as long as the participants and the market makers are actively involved in trading them. 

This phenomenon can be attributed to the independent valuation of futures and options, which draws upon factors such as volatility, time decay, and interest rates, rather than solely mirroring the immediate supply and demand dynamics of the underlying stock.