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Contract & Commercial Law vocabulary · Breach & Remedies

Material breach

Meaning in contract & commercial law, with examples

nounCommon term

In contract & commercial law, material breach means: A serious breach of contract that goes to the heart of the agreement and usually gives the other party the right to terminate.

In Turkish: esaslı ihlal, önemli ihlal, ağır ihlal

How it is used

Common in termination clauses: 'either party may terminate if the other commits a material breach'. Because 'material' is vague, careful drafters give examples or define it. A material breach that can be fixed often has to be remedied within a set period first.

Example sentences

  1. Repeated failure to pay on time is a material breach of this agreement.

  2. We terminated for material breach after the supplier ignored our warning letter.

Common collocations

  • commit a material breach
  • material breach of contract
  • terminate for material breach
  • remediable material breach
  • breach of contractFailure by a party to do what it promised in a contract, for example paying late, delivering faulty goods or not delivering at all.
  • terminateTo end a contract officially, for example because the other party has breached it, or by giving the notice that the contract allows.
  • conditionAn essential term of a contract whose breach allows the other party to terminate; also an event that must happen before an obligation starts or that brings it to an end.
  • remedyA way the law helps a party whose rights have been breached, such as damages, specific performance, an injunction or termination.

More terms: Breach & Remedies

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This page explains English vocabulary for learners. It is not legal advice.