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severable contract

   Also found in: Legal, Wikipedia 0.01 sec.
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Noun1.severable contract - a contract which, in the event of a breach by one of the parties, can be considered as several independent agreements expressed in a single instrument
contract - a binding agreement between two or more persons that is enforceable by law


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With contracts that are nonseverable, and severable contracts when amounts are due before the performance is complete, the right to income is fixed no later than when payment is due, the IRS asserts.
However, it should not be forgotten that the dispute resolutions operate as a separate, severable contract, and need to be as clear and workable as the rest of the contract.
 
 
 
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