Force Majeure

What Does It Mean?
What Does Force Majeure Mean?
A French term literally translated as "greater force", this clause is included in contracts to remove liability for natural and unavoidable catastrophes that interrupt the expected course of events and restrict participants from fulfilling obligations.
Investopedia Says
Investopedia explains Force Majeure
This clause is meant to benefit both parties in a contract. Force majeure would come into play, for example, when you buy a house. If the house is destroyed in a fire caused by a lightning strike, neither party remains obligated.
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