Commercially Reasonable Efforts
/ˈkɒmɜːrʃəli ˈrizənəbl ˈɛfərts/
Definitions
- (n.) Actions taken by a party that a reasonable business person would undertake under similar circumstances to fulfill a contractual obligation.
The contract requires the seller to use commercially reasonable efforts to obtain necessary permits.
Forms
- commercially reasonable efforts
- commercially reasonable effort
Related terms
See also
Commentary
The term is context-dependent and implies a standard less demanding than "best efforts" but more than mere good faith; drafting should define the standard clearly to avoid disputes.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.