Termination for default

Termination for default,

Definition of Termination for default:

  1. Standard contract clause which gives a customer the right to unilaterally terminate the contractor if the contractor fails to perform according to the specified terms. The contractor is generally not entitled to any payment for the unfinished part of the contract and, instead, may be liable for (1) repayment of monies advanced, (2) liquidated and other damages, and (3) excess cost incurred by the customer in completing the contract under a new contractor. See also termination for convenience.

Meaning of Termination for default & Termination for default Definition