Legal Definitions - earn

In a legal sense, to earn means to become entitled to something—such as money, a right, or a benefit—as a direct result of one's labor, service, performance, or by fulfilling specific conditions. This entitlement arises even if the reward or benefit has not yet been physically received or realized.

Here are some examples to illustrate this concept:

• Example 1: Professional Services

  A software developer completes a custom application for a client, delivering it on the agreed-upon date and meeting all specifications. The contract stipulates payment upon delivery.

  Explanation: The developer earns their fee by successfully completing and delivering the software. They have performed the service as required, creating an entitlement to the payment, even if the client's accounting department takes a few days to process the invoice and send the funds.

• Example 2: Meeting Performance Criteria

  A manufacturing company offers its production team a productivity bonus for any month where they exceed their output target by 15% without compromising quality.

  Explanation: If the production team achieves a 17% increase in output while maintaining quality in a given month, they have earned the productivity bonus. They have met the specific performance criteria, establishing their entitlement to the bonus, regardless of whether the bonus payment is distributed immediately or at the end of the quarter.

• Example 3: Acquiring a Right or Privilege

  A frequent flyer program awards members "elite status" after they accumulate 50,000 miles within a calendar year, granting them benefits like priority boarding and lounge access.

  Explanation: Once a traveler flies 50,000 miles, they have earned elite status. They have performed the necessary action (flying the required distance) to become entitled to the associated benefits and privileges, even if they haven't yet used their priority boarding or visited a lounge since reaching that milestone.