Contracts & Disputes

Force Majeure

Also known as: act of God clause

In plain English

A contract clause that excuses a party from performing when something extraordinary and beyond their control — like a natural disaster — gets in the way.

What it means

Force majeure is a contract clause that suspends or excuses a party's obligations when defined extraordinary events — such as natural disasters, war, pandemics, or government action — prevent performance. Unlike in some countries, there is no general 'force majeure' doctrine in Australian law; the protection comes only from what the clause actually says. Whether an event qualifies, and what relief follows (delay, suspension, or termination), depends entirely on the wording. Without a force majeure clause, a party may have to rely on the narrower doctrine of frustration.

How it's used

When floods closed the highway for weeks, the supplier relied on the force majeure clause to excuse its late delivery.

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