breach
Definition
A breach happens when one party in an agreement fails to hold up their end of the deal, whether that means missing a deadline, delivering shoddy work, or not paying what they owe. Think of it as someone breaking a promise that was legally binding, which gives the other party the right to seek compensation or take legal action.
Example
If you hire a contractor to renovate your store by March 1st and they don't show up or finish the work, they have committed a breach of your contract.
Watch Out
Even small failures to follow the exact terms of a contract can count as a breach, so make sure your contracts clearly spell out exactly what each party is expected to do and when.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.