incumplimiento
Definition
Incumplimiento is a Spanish legal term that means 'breach' or 'failure to perform,' and it refers to when a person or business does not follow through on a legal obligation or contract. In business law, this typically means someone broke the terms of an agreement, failed to pay a debt, or did not deliver goods or services as promised.
Example
If you hire a supplier to deliver 500 units of product by a certain date and they never show up, that supplier has committed incumplimiento of your contract, which gives you the right to seek compensation.
Watch Out
If you are doing business with Spanish-speaking partners or reviewing contracts written in Spanish, understanding this term is critical because an incumplimiento clause often spells out exactly what penalties or remedies apply when someone breaks the deal.
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This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.