act of god
Definition
An act of God refers to an extreme natural event that no one could have predicted or prevented, like a hurricane, earthquake, flood, or lightning strike. Courts use this concept to decide whether a person or business should be excused from a legal obligation or responsibility when nature was the real cause of the problem.
Example
If a tornado destroys your warehouse and you can't deliver goods to a customer on time, you might argue that the tornado was an act of God and that you shouldn't be penalized for missing the deadline.
Watch Out
Many contracts include specific language about acts of God (often called 'force majeure' clauses) that define exactly which events qualify, so you should read those sections carefully before assuming any natural disaster automatically gets you off the hook.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.