DEFAULT - A failure to comply with
a term of an agreement. For example, a default by
a tenant under a lease agreement permits a landlord
to take certain actions in response to the default.
The failure to fulfill a legal obligation or duty,
such as neglecting to pay back a loan on schedule.
Under a default termination, the contractor has no
rights to claims or profit. In addition, in a construction
contract, the contractor's bonding company must then
either find a new contractor or complete the job themselves
at the original contract price.
Default is often understood the non-appearance of
the defendant within the time prescribed by law to
defend himself. It also signifies the non-appearance
of the plaintiff to prosecute his claim.
When the plaintiff makes default, he may be nonsuited;
and when the defendant makes default, judgment by
default is rendered against him.
By the 4th section of the English statute of frauds
it is enacted that 'no action shall be brought to
charge the defendant upon any special promise to answer
for the debt, default, or miscarriage of another person,
unless the agreement,' etc., 'shall be in writing,'
etc. By default under this statute is understood the
non-performance of duty, though the same be not founded
on a contract.
