event of default

noun

  • Business (Corporate) Law/Company Law
  • Contract Law
  • Banking and Finance

Definitions of event of default

  • a specific failure to meet an obligation

    The loan agreement defined the insolvency of the borrower as an event of default by the borrower.

Phrase Bank for event of default

  • The non-payment of other loans which the borrower has may be an event of default.

  • In the event of default by the borrower, the bank shall be entitled to terminate the loan agreement.

  • The company should try to limit the amount of events of default when negotiating with the bank.

Additional Notes for event of default

  • Events of default are specifically laid out in the loan contract, and often include chronically late payments or other breaches of contract.