undisputed amounts
Definition
Undisputed amounts are the portions of a bill, invoice, or payment that both parties fully agree are owed, even when they are fighting over other parts of the total. For example, if a contractor bills you $10,000 and you agree $7,000 is fair but disagree about the remaining $3,000, that $7,000 is the undisputed amount. Courts and contracts often require you to pay undisputed amounts on time, even while the disagreement over the rest gets worked out.
Example
Your supplier sends you an invoice for $5,000, but you believe $1,000 of it covers work they never completed, so you pay the $4,000 you both agree on while you dispute the rest.
Watch Out
Many contracts require you to pay undisputed amounts by the original due date, so holding back the entire payment over a partial disagreement can put you in breach of contract.
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.