Legal Definitions - secondary obligation

A secondary obligation is a duty, promise, or undertaking that is incident to a primary obligation. It is a duty to make reparation upon a breach of contract. For example, if a person agrees to sell a car to another person, the primary obligation is to transfer the ownership of the car to the buyer. However, if the seller fails to transfer the ownership, the secondary obligation is to compensate the buyer for the loss suffered due to the breach of contract.

Another example of a secondary obligation is a guarantee. If a person guarantees the payment of a loan taken by another person, the primary obligation is on the borrower to repay the loan. However, if the borrower fails to repay the loan, the secondary obligation is on the guarantor to repay the loan.

The examples illustrate that a secondary obligation is a duty that arises only upon the breach of a primary obligation. It is a way to ensure that the parties to a contract fulfill their obligations and are held accountable for any breach of contract.