Cancellation Fee

/ˌkæn.səˈleɪ.ʃən fiː/

Definitions

  1. (n.) A monetary charge imposed for terminating a contract or agreement before its agreed term.
    The tenant was required to pay a cancellation fee when breaking the lease early.

Forms

  • cancellation fee
  • cancellation fees

Commentary

Cancellation fees are often specified in contracts to deter early termination and compensate for losses; clear drafting helps avoid disputes over enforceability.

This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.

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