unenforceable provision
Definition
An unenforceable provision is a clause in a contract that a court will refuse to uphold, even if both parties agreed to it and signed the document. This usually happens because the clause violates a law, asks someone to do something illegal, or is so unfair that the court simply won't back it up. The rest of the contract can often still stand, but that particular clause gets thrown out as if it was never there.
Example
If you put a clause in your employee contracts saying workers give up their right to minimum wage, a court would toss that clause out entirely because it violates federal labor law, even though the employee signed it.
Watch Out
Just because someone agreed to a clause and put their signature on it does not mean a court will actually force them to follow it, so always have an attorney review contract language before you rely on it to protect your business.
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This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.