Which term describes events like natural disasters that excuse performance?

Which term describes events like natural disasters that excuse performance?

• A. Act of God/ Force Majeure
• B. Time Limits
• C. Furnish
• D. Specifications

Answer: (A)

Events like natural disasters that excuse performance are described as force majeure, often known as an Act of God. In contract law, a force majeure clause covers events beyond a party’s control that make it impossible, impractical, or illegal to perform. When such events occur, the affected party can suspend or delay duties without breaching the contract, because these disruptions aren’t caused by fault and aren’t reasonably foreseeable. Context helps: these clauses are common in agreements where performance depends on external conditions—for example, suppliers facing a hurricane, an earthquake, or widespread flooding—situations that neither side could prevent. Some contracts also list specific events that count as force majeure, and requirements often include notice of the event and a showing that performance is impacted. The other terms don’t fit because time limits govern deadlines for performance or filing, not whether performance can be excused by extraordinary events; furnish relates to supplying goods or services; and specifications refer to the required standards or characteristics of what is to be delivered.

Events like natural disasters that excuse performance are described as force majeure, often known as an Act of God. In contract law, a force majeure clause covers events beyond a party’s control that make it impossible, impractical, or illegal to perform. When such events occur, the affected party can suspend or delay duties without breaching the contract, because these disruptions aren’t caused by fault and aren’t reasonably foreseeable.

Context helps: these clauses are common in agreements where performance depends on external conditions—for example, suppliers facing a hurricane, an earthquake, or widespread flooding—situations that neither side could prevent. Some contracts also list specific events that count as force majeure, and requirements often include notice of the event and a showing that performance is impacted.

The other terms don’t fit because time limits govern deadlines for performance or filing, not whether performance can be excused by extraordinary events; furnish relates to supplying goods or services; and specifications refer to the required standards or characteristics of what is to be delivered.