diff --git a/contracts/invoice-escrow/src/errors.rs b/contracts/invoice-escrow/src/errors.rs
index 231e722..aa57cba 100644
--- a/contracts/invoice-escrow/src/errors.rs
+++ b/contracts/invoice-escrow/src/errors.rs
@@ -52,4 +52,12 @@ pub enum Error {
     SignatureExpired = 22,
     /// Funding amount does not meet the required milestone threshold.
     InvalidMilestoneAmount = 23,
+    /// Caller is not authorized as an emergency admin for this escrow
+    NotEmergencyAdmin,
+    // Emergency release is not configured or not available for this invoice
+    EmergencyReleaseNotAllowed,
+    // Invoice funds have already been released (either normally or via emergency)
+    InvoiceAlreadyReleased,
+    // Invoice is not in a locked escrow state and cannot be emergency released
+    InvoiceNotInEscrow,
 }
diff --git a/contracts/invoice-escrow/src/lib.rs b/contracts/invoice-escrow/src/lib.rs
index e76a381..33dcb13 100644
--- a/contracts/invoice-escrow/src/lib.rs
+++ b/contracts/invoice-escrow/src/lib.rs
@@ -662,6 +662,54 @@ impl InvoiceEscrow {
         events::escrow_cleaned_up(&env, invoice_id);
         Ok(())
     }
+
+    pub fn emergency_release(env: Env, invoice_id: u64, caller: Address,) -> Result<(), Error> {
+    // 1. Validate caller is an emergency admin
+    let escrow = Self::get_escrow(&env, invoice_id)?;
+    let admin = escrow.emergency_admin
+        .ok_or(Error::EmergencyReleaseNotAllowed)?;
+    
+    // 2. Verify multi-sig threshold
+    let signature_count = Self::count_approvals(&env, invoice_id, &admin);
+    if signature_count < admin.threshold {
+        return Err(Error::NotEmergencyAdmin);
+    }
+    
+    // 3. Check if already released or invalid state
+    if escrow.emergency_released {
+        return Err(Error::InvoiceAlreadyReleased);
+    }
+    if escrow.status != EscrowStatus::Locked {
+        return Err(Error::InvoiceNotInEscrow);
+    }
+    
+    // 4. Release funds to appropriate parties
+    let recipient = escrow.recipient;
+    let amount = escrow.amount;
+    
+    // Transfer funds
+    token::transfer(&env, &escrow.token, &recipient, &amount)?;
+    
+    // 5. Update escrow state
+    let mut updated_escrow = escrow;
+    updated_escrow.status = EscrowStatus::EmergencyReleased;
+    updated_escrow.emergency_released = true;
+    Self::save_escrow(&env, invoice_id, &updated_escrow);
+    
+    // 6. Emit event for transparency
+    Self::emit_emergency_release_event(&env, invoice_id, caller, recipient, amount);
+    
+    Ok(())
+}
+
+// Helper functions
+fn count_approvals(env: &Env, invoice_id: u64, admin: &EmergencyAdmin) -> u32 {
+    // Count how many admins have approved this emergency release
+    // Implementation depends on how approvals are stored
+    admin.addresses.iter()
+        .filter(|addr| Self::has_approved(env, invoice_id, addr))
+        .count() as u32
+}
 }
 
 #[cfg(test)]
diff --git a/contracts/invoice-escrow/src/test.rs b/contracts/invoice-escrow/src/test.rs
index abc4930..7929083 100644
--- a/contracts/invoice-escrow/src/test.rs
+++ b/contracts/invoice-escrow/src/test.rs
@@ -3186,3 +3186,31 @@ fn test_fund_escrow_allows_remainder_below_milestone() {
     let escrow = escrow_client.get_escrow(&invoice_id);
     assert_eq!(escrow.status, EscrowStatus::Funded);
 }
+
+#[test]
+fn test_emergency_release_success() {
+    // Setup admin addresses
+    let admin1 = Address::generate(&Env::default());
+    let admin2 = Address::generate(&Env::default());
+    let admin3 = Address::generate(&Env::default());
+    
+    let emergency_admin = EmergencyAdmin {
+        addresses: vec![admin1.clone(), admin2.clone(), admin3.clone()],
+        threshold: 2,
+    };
+    
+    // Create escrow with emergency admin
+    // Simulate approvals from admin1 and admin2
+    // Call emergency_release
+    // Verify funds transferred and state updated
+}
+
+#[test]
+fn test_emergency_release_not_admin() {
+    // Test that non-admin callers are rejected
+}
+
+#[test]
+fn test_emergency_release_insufficient_signatures() {
+    // Test that below threshold fails
+}
\ No newline at end of file
diff --git a/contracts/invoice-escrow/src/types.rs b/contracts/invoice-escrow/src/types.rs
index bfbebc7..588413a 100644
--- a/contracts/invoice-escrow/src/types.rs
+++ b/contracts/invoice-escrow/src/types.rs
@@ -88,3 +88,18 @@ pub struct EscrowData {
     /// Set at creation, cannot be modified. SHA-256 hash (32 bytes).
     pub commitment: soroban_sdk::BytesN<32>,
 }
+
+// Add admin multi-sig structure
+#[derive(Clone, Debug, PartialEq, Eq)]
+pub struct EmergencyAdmin {
+    pub addresses: Vec<Address>,
+    pub threshold: u32,
+}
+
+// Update Invoice escrow state
+#[derive(Clone, Debug, PartialEq, Eq)]
+pub struct InvoiceEscrow {
+    // ... existing fields ...
+    pub emergency_admin: Option<EmergencyAdmin>,
+    pub emergency_released: bool,
+}
\ No newline at end of file