Legal Definitions - nonperformance

Definition: Nonperformance refers to the failure to fulfill an obligation, especially a contractual one. It is the opposite of performance, which means fulfilling an obligation as agreed upon.

Examples:

• A contractor who fails to complete a construction project on time and within budget is guilty of nonperformance.
• If a seller fails to deliver goods to a buyer as agreed upon in a sales contract, it is considered nonperformance.
• If an employee fails to perform their duties as outlined in their job description, it is considered nonperformance.

These examples illustrate how nonperformance can occur in various contexts, such as in business contracts, employment agreements, and other types of agreements. Nonperformance can result in legal consequences, such as breach of contract lawsuits or termination of employment.