Contract Glossary

Commercially Reasonable

Definition

A standard that means what a sensible business person would do in the same situation, not the absolute best possible effort, but a fair and honest effort given normal business constraints. It's the 'B+ effort' standard, not the 'A+ at any cost' standard.

In Practice

Your contract says you'll make 'commercially reasonable efforts' to deliver by June 1. That means you should work diligently and handle normal obstacles, but you're not expected to hire 50 extra people or spend triple your budget to hit the date. It's a flexible standard that courts interpret based on what's normal in your industry.