Clearance
/ˈklɪərəns/
Definitions
- (n.) Official authorization permitting a person or entity to proceed with a particular action, often after review or inspection.
The company received clearance from the regulatory body to launch its new product.
- (n.) In finance and banking, the process by which checks, drafts, or payment instruments are processed and funds are transferred between banks.
The bank ensured the clearance of the check before crediting the account.
- (n.) In securities law, the process of confirming and settling trades and transactions between parties.
Clearance of the stock transaction was completed promptly to finalize ownership transfer.
- (n.) In intellectual property, the process of obtaining permission or verifying the absence of infringement before using copyrighted material or trademarks.
The lawyer conducted a clearance search before the company used the logo in advertising.
Related terms
Commentary
The term 'clearance' spans multiple legal domains; definitions should be contextually distinguished to clarify whether it refers to regulatory permission, financial processing, or IP rights verification.
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.