What Is a Force Majeure Clause & When It Applies
Contracts often expect obligations to be performed. But what happens when an extraordinary event—like a flood, pandemic, or government order—makes performance impossible or impractical? That’s where a force majeure clause comes into play.
1. What Is a Force Majeure Clause?
A force majeure clause is a provision in a contract that allows one or both parties to be relieved, temporarily or permanently, from performing certain obligations if specific unforeseen events occur. It’s sometimes called a “relief clause” or “act of God clause.” {index=0}
The purpose: to allocate risk and provide a safe harbor when reality changes in ways no party could reasonably control. {index=1}
2. Key Elements of a Force Majeure Provision
To be effective, a force majeure clause typically includes several components:
- Definition of Events: A list (or illustration) of qualifying events (e.g. natural disasters, wars, epidemics, government actions). {index=2}
- Trigger Conditions: How these events must affect performance to invoke the clause (impossibility, delay, interruption). {index=3}
- Notice & Timing: A requirement to notify the other party within a specified period. {index=4}
- Mitigation Obligations: The party invoking force majeure often must take reasonable steps to reduce impact. {index=5}
- Suspension vs Termination: The clause may allow performance to be suspended during the event, or, if the event persists, permit contract termination. {index=6}
- Impact on Liability: The clause typically limits or removes liability for nonperformance during the force majeure. {index=7}
3. What Qualifies as Force Majeure?
Not every bad event qualifies. Courts tend to interpret force majeure narrowly—only what is specifically allowed or clearly fits the definition. {index=8}
Common examples include:
- Natural disasters (floods, earthquakes, hurricanes) {index=9}
- War, riots, terrorism {index=10}
- Government actions or lockdowns (regulations, embargoes, orders) {index=11}
- Pandemics or widespread epidemics (if included) {index=12}
- Supply chain collapse, power outages (if expressly defined) {index=13}
4. How It Works in Practice
When a qualifying event happens, here’s how a force majeure clause is typically invoked:
- The affected party gives formal notice, describing the event and its impact.
- They must show that performance was prevented or impeded by the event.
- They must demonstrate efforts to mitigate or resume performance.
- The clause may allow suspension of duties or trigger termination if extended. {index=14}
5. When a Force Majeure Clause Isn’t Enough
If the contract lacks a force majeure clause, or the event isn't covered, other legal doctrines may come into play, like:
- Impracticability / frustration of purpose — but courts apply these narrowly. {index=15}
- Renegotiation or mutual agreement to amend
- Claiming breach or seeking equitable relief
Without a proper clause, you carry more risk. {index=16}
6. Tips for Drafting & Negotiating a Force Majeure Clause
- Be specific: define events clearly rather than using catchall phrases
- Include mitigation obligations—don’t allow excuse without effort
- Set time limits for how long suspension lasts before termination
- Require timely notice and proof of impact
- Consider including a “fallback” or alternate performance option
- Avoid broad “all causes beyond control” language unless you trust the other party
- Check local or state laws—some jurisdictions restrict what a force majeure can cover
Conclusion
A well-crafted force majeure clause can protect you when unforeseen disasters strike. But only if it’s precise, reasonable, and part of a balanced contract. Don’t assume it works automatically—check definitions, notice rules, and mitigation responsibilities. If you have a contract and you're unsure whether it includes a strong force majeure clause, I can review it and interpret it for you in plain English—just upload it and I’ll help you see what’s really behind the legal language.
FAQ
- Can I invoke force majeure for more expensive performance?
- No. Increased cost or inconvenience alone typically does not qualify unless the clause explicitly allows it.
- Does force majeure cancel the contract?
- Usually not. Most clauses suspend performance temporarily; only persistent events may trigger termination.
- Do I need a force majeure clause in every contract?
- Not always—but in contracts that stretch over time or depend on external conditions, it’s strongly advisable.
- What if the event was predictable (e.g. climate change)?
- If it’s foreseeable or should have been planned for, courts may deny invoking force majeure.
- Is “act of God” the same as force majeure?
- “Act of God” refers to natural events beyond control. Force majeure is broader and can include human or regulatory acts (if defined). {index=17}