Grace Period
/ˈɡreɪs ˌpɪəriəd/
Definitions
- (n.) A legally authorized period after a deadline during which a party may perform an obligation without penalty or default.
The borrower paid the overdue amount within the grace period to avoid penalties.
- (n.) A timeframe in contracts or statutes allowing delay or leniency before enforcement of a breach or penalty.
The contract includes a 10-day grace period before late fees apply.
Forms
- grace periods
Related terms
See also
Commentary
Commonly included in contracts to provide flexibility; the length and conditions of grace periods should be explicitly defined to avoid ambiguity.
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.