Commercially Reasonable Efforts Clause

/kəˈmɜːrʃəli ˈriːzənəbəl ˈɛfərts klɔːz/

Definitions

  1. (n.) A contractual provision obligating a party to undertake actions that are commercially reasonable to fulfill the contract's objectives without guaranteeing success or specifying exact actions.
    The agreement included a commercially reasonable efforts clause requiring the seller to pursue all viable sales opportunities.

Forms

  • commercially reasonable efforts clause
  • commercially reasonable efforts clauses

Commentary

This clause typically balances diligence and practicality, avoiding imposing overly burdensome or impractical requirements on the obligated party.

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.

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