Payment Obligation

/ˈpeɪmənt ˌɒblɪˈɡeɪʃən/

Definitions

  1. (n.) A legal duty or commitment to transfer a specified sum of money or equivalent value under contract or law.
    The contract clearly specifies the payment obligation due on the last day of the month.

Forms

  • payment obligation
  • payment obligations

Commentary

Payment obligations must be precisely defined in agreements to avoid disputes regarding timing, amount, and conditions of payment.

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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