In contract law, what does 'default' typically refer to?

In contract law, 'default' typically refers to a failure to meet contractual obligations. This occurs when one party does not fulfill the terms of the contract, such as failing to make payments, deliver goods, or perform agreed-upon services. Default can lead to legal consequences, such as the non-breaching party seeking remedies through damage claims, specific performance, or contract termination.

Understanding the concept of default is crucial for interpreting contracts, as it establishes the responsibilities of the parties involved and the available recourse should one party fail to adhere to the agreement's terms. Recognizing this helps in both preventing and addressing breaches of contract effectively.