Understanding Force Majeure in a FAR/BAR Contract: What Florida Buyers and Sellers Need to Know
- Dennis Egan Sun National Title Company
- Jun 30
- 2 min read

Well it's Hurricane Season again. In Florida real estate transactions, the FAR/BAR "As Is" Residential Contract for Sale and Purchase is the most commonly used agreement between buyers and sellers. Like most contracts, it includes language to account for unforeseen circumstances. One such clause is the force majeure provision—often misunderstood, yet critical in times of unexpected disruption.
What is Force Majeure?
Force majeure—French for “superior force”—refers to extraordinary events beyond the control of the parties involved that prevent one or both sides from fulfilling their contractual obligations. Think hurricanes, pandemics, acts of war, or government-imposed shutdowns.
Where Is It in the FAR/BAR Contract?
The FAR/BAR contract includes a force majeure clause under Section 18G – Force Majeure. This section provides specific guidance on what happens when an uncontrollable event delays a real estate transaction.
What Events Qualify?
The contract typically defines force majeure events to include:
Hurricanes and other natural disasters
Floods, fires, or extreme weather events
Government actions or regulations
Labor strikes
Acts of terrorism or war
Pandemics or other public health emergencies
The event must be unforeseeable and must actually prevent or delay the closing or other contractual obligations.
What Happens If a Force Majeure Event Occurs?
If a force majeure event occurs under the FAR/BAR contract:
Deadlines Are Extended: All time periods—including closing dates, inspection periods, loan approval deadlines, etc.—are automatically extended.
Maximum Delay: The extension period is up to 7 days after the force majeure event ends, but no more than 30 days total.
Right to Cancel: If the force majeure event continues beyond 30 days, either party may cancel the contract with written notice and receive a return of the buyer’s deposit.
This framework is designed to offer both flexibility and protection, without leaving either party locked into a never-ending waiting game.
Real-World Example
Let’s say a hurricane hits Florida two days before a scheduled closing. The buyer’s lender halts operations, preventing the funds from being wired. Under Section 18G, the parties have up to 30 days to resume normal operations. If the hurricane's impact lasts 10 days, the closing can be rescheduled within that window. But if services can't resume within 30 days, either party can walk away from the deal without penalty.
Why It Matters
Understanding the force majeure clause is vital for real estate professionals advising their clients. In today’s world—where natural disasters and global events are increasingly common—this clause can be the difference between a salvaged deal and a lost opportunity.
Final Thoughts
The FAR/BAR contract’s force majeure provision offers a practical legal tool for navigating disruption. Whether you’re a buyer, seller, or agent, knowing how this clause works helps manage risk and protect your interests when the unexpected occurs.
Pro Tip: Always consult a Florida real estate professional when facing a potential force majeure situation—especially if you're unsure whether a particular event qualifies.
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