lilypadfrog
12:57
Warning
Info
Warning
Info
LSDefine
Simple English definitions for legal terms
divisible contract
Read a random definition: choice-of-exclusive-forum clause
A quick definition of divisible contract:
A divisible contract is an agreement between two or more parties that can be separated into smaller parts, each with its own obligations and enforceable at law. This means that if one part of the contract is not fulfilled, the other parts can still be enforced. For example, if a contract involves the delivery of 100 items, it can be divided into smaller parts, such as the delivery of 10 items at a time. This type of contract is also known as a severable contract.
A more thorough explanation:
A divisible contract is a type of contract that can be broken down into smaller parts or obligations. Each part of the contract can be performed and enforced separately, without affecting the validity of the other parts. This means that if one part of the contract is breached, the other parts can still be enforced.
For example, a construction contract may be considered a divisible contract because it can be divided into smaller parts, such as the foundation work, framing, electrical work, plumbing, and so on. If the contractor fails to complete the electrical work, the owner can still enforce the other parts of the contract and hire another contractor to complete the electrical work.
Another example of a divisible contract is a contract for the sale of goods. If a buyer agrees to purchase 100 units of a product from a seller, the contract can be divided into smaller parts, such as the delivery of each unit. If the seller fails to deliver one unit, the buyer can still enforce the contract for the delivery of the other 99 units.
In summary, a divisible contract is a contract that can be divided into smaller parts or obligations, each of which can be performed and enforced separately without affecting the validity of the other parts.