Where the owners of a company or parties to an agreement have an irreconcilable conflict. This term is often used in connection with 50:50 joint ventures where neither party to the joint venture has a majority interest and a conflict arises over the management of the joint venture. Joint venture agreements commonly contain deadlock provisions to resolve such situations.

For examples of deadlock provisions, see Standard Clauses, LLC Agreement: Deadlock (with Mediation) and Stockholders Agreement: Deadlock (with Mediation), and Standard Document, Buy-Sell Agreement (Russian Roulette): LLCs.