Deadlock Resolution Procedures Clause Samples

The Deadlock Resolution Procedures clause establishes a process for resolving situations where decision-makers within a joint venture, partnership, or board are unable to reach agreement on key issues. Typically, this clause outlines steps such as escalating the dispute to higher-level executives, engaging in mediation, or even triggering a buy-sell mechanism if consensus cannot be reached. Its core function is to prevent prolonged stalemates that could paralyze the organization, ensuring that business operations can continue or be concluded in an orderly manner if agreement remains impossible.