An undue hardship is special or specified circumstances that partially or fully exempt a person or organization from performance of a legal obligation so as to avoid an unreasonable or disproportionate burden or obstacle. An undue hardship is special or specified circumstances that partially or fully exempt a person or organization from performance of a legal obligation so as to avoid an unreasonable or disproportionate burden or obstacle. For example, employers are required to provide a reasonable accommodation to qualified individuals with disabilities, but when an accommodation becomes too taxing on the organization it is classified as an undue hardship and is no longer required. These hardships include the nature and cost of the accommodation in relation to the size, resources, nature, and structure of the employer's operation.