GlossaryEN1 min readUpdated: Jun 13, 2026

Change-of-law clause

A freight forwarder signs a three-year framework contract; months later, authorities modify hazmat regulations or driver qualification requirements.

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Last updated: 13 June 2026Published: 27 January 2026

Source: https://www.lawinsider.com/dictionary/change-of-law-clause

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Logistics Concept

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Definition & Explanation

A freight forwarder signs a three-year framework contract; months later, authorities modify hazmat regulations or driver qualification requirements. A change-of-law clause prevents the contract from becoming rigid: it provides that material terms—pricing, liability caps, compliance obligations—automatically adjust when new or amended legislation, regulations, or regulatory requirements affect their performance. This eliminates ambiguity: neither party bears the full risk of unforeseen legal changes. In international transport, this is especially critical, as laws and standards continually evolve.

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