Early Termination
/ˈɜːrli tɜːrmɪˈneɪʃən/
Definitions
- (n.) The premature ending of a contract, agreement, or legal proceeding before its originally stipulated time.
The parties agreed to early termination of the lease to avoid further obligations.
- (n.) In finance, the act of ending a financial contract, such as a loan or swap, before its scheduled maturity date.
The early termination of the interest rate swap triggered significant penalties.
Forms
- early termination
Related terms
See also
Commentary
Early termination clauses are often carefully drafted to address consequences and fees, ensuring clarity on obligations triggered by ending an agreement prematurely.
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.