MANDATORY AND PERMISSIVE Clause Samples

The 'Mandatory and Permissive' clause distinguishes between obligations that must be followed and actions that are allowed but not required under an agreement. In practice, this clause clarifies which provisions are compulsory—such as deadlines or compliance requirements—and which are optional, like the ability to extend a timeline or waive certain conditions. By clearly separating mandatory duties from permissive rights, the clause helps prevent misunderstandings and ensures all parties know which terms are enforceable and which are discretionary.