Abandonment Clause uh-BAN-duhn-muhnt clawz A provision in a contract that outlines the rights and obligations of the parties in the event one party abandons or fails to fulfill their obligations under the contract. The abandonment clause in the lease agreement stated that the landlord could retake possession of the property if the tenant failed to pay rent for three consecutive months. In Mineral Park Land Co. v. Howard (1916), the California Supreme Court held that an abandonment clause in a mining lease did not allow the lessee to avoid paying royalties if they ceased mining operations due to unforeseen circumstances.← Back to BrowseNext Term →