Meet-or-release contracts are

contracts A contract is a legally enforceable agreement between two or more parties that creates, defines, and governs mutual rights and obligations between them. A contract typically involves the transfer of goods, services, money, or a promise to tr ...

that include "meet or release"

competition Competition is a rivalry where two or more parties strive for a common goal which cannot be shared: where one's gain is the other's loss (an example of which is a zero-sum game). Competition can arise between entities such as organisms, ind ...

clause In language, a clause is a constituent that comprises a semantic predicand (expressed or not) and a semantic predicate. A typical clause consists of a subject and a syntactic predicate, the latter typically a verb phrase composed of a verb wit ...

s. It is where a company agrees with a ustomerto sell a product at a certain given price. If, by any chance the customer finds a cheaper purchase the company must place their product at an equal or lesser value. The customer then has the option to be released from the contract only after giving the original company the opportunity to meet (or exceed) the less expensive offer. In some circumstances, exercising this clause's options may not be possible because the ustomerwould have to disclose a ompetitor'sconfidential offer in order to allow another company the opportunity to match the offer.

References

Contract clauses {{law-term-stub