An outdoor festival of the Low Countries; a fair held usually for charitable purposes. The etymology of this one is fun, as it comes from Dutch kermis, from Middle Dutch kercmisse, from kerc, kerke church plus misse mass, church festival.
From the story “Actors” in the collection Dictation by Cynthia Ozick, page 54.
The usage in context here is pretty undistinguished, as the word appears in a list of words that the author of crossword puzzles happens to know. It’s not really worth quoting.