Force Majeure
Category: Legal
Also searched as: Force Majeure
Definition (plain English)
A contract clause that excuses or suspends performance when defined events outside a party control prevent or seriously disrupt performance.
Why it matters commercially
In physical-goods trade it decides what happens when ports close, export bans hit, factories stop, war disrupts routes, or a party claims it cannot deliver or pay on time.
Example
A supplier invoked force majeure after an export restriction, but the buyer checked notice timing, evidence, mitigation duty, and whether delay allowed cancellation.
Common mistake
Copying a broad force majeure clause without defining covered events, notice deadlines, mitigation steps, payment effects, and termination rights.
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