Mitigation Required Clause Samples

The 'Mitigation Required' clause obligates a party to take reasonable steps to minimize or reduce any losses, damages, or negative impacts arising from a breach or other adverse event under the contract. In practice, this means that if a party suffers harm, they must actively seek to limit the extent of that harm, such as by seeking alternative suppliers or taking corrective actions, rather than passively allowing losses to accumulate. The core function of this clause is to prevent unnecessary or avoidable losses and to ensure that damages claimed are not inflated due to inaction, thereby promoting fairness and efficiency in resolving contractual disputes.