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What does "Force Majeure" mean in a contract?
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What does "Force Majeure" mean in a contract?

It's a clause in a contract, it stipulates as follows: "If the performance of any obligation of a party is prevented or interfered with by force majeure for a period not exceeding fourteen (14) calendar days, such party shall be excused from that performance to the extent of that prevention or interference, but shall make or use all efforts to avoid such force majeure and shall continue to perform in terms of this agreement as soon as performance becomes possible...... For the purposes of this clause force majeure shall include war, earthquake, fire, flood, vandalism, destruction, act of God or of government, legislative enactment or amendment, regulatory interference, strikes, lockouts or any other industrial disputes as well as all other causes beyond the reasonable control of a party.

It means: War, Hostilities (whether war be declared or not), invasion act of foreign enemies. Ironi

Basically, it means an "Act of God". Flood, Tornado, Fire... whatever that would prevent any of the parties from fuilfilling their portion of the contract. SO... if you are obligated to pay a storefront lease, for example, but because of a flood, you cannot access your store for 2 weeks, you are not held liable for the time period when the store was inaccessible, BUT as soon as it is accessible (within reason) your obligation would start back up. Hope that helps.

It's a legal term, from the French ("greater force") that essentially means "act of God." It excuses a party's performance if some unforeseen consequence not in the party's control occurs, usualy like war, natural disaster, or change in law. Most contracts specifically define what events are "force majeure", and you contract does, too. So all you have to do is read the provision of your contract. http://en.wikipedia.org/wiki/Force_majeure

It tells you at the bottom of the contract.

Your answer is the entire last sentence of the contract portion you quoted.

Hugh J

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