A legal failure of one party to a contract is known as what?

The term that accurately describes a legal failure of one party to a contract is "breach of contract." This occurs when one party fails to fulfill their obligations under the terms set forth in the agreement, which can include not performing on time, failing to deliver goods or services as promised, or not adhering to the contract's stipulations at all. A breach of contract can lead to legal consequences, allowing the non-breaching party to seek damages or specific performance to rectify the situation.

The other terms may seem related but do not precisely capture the definition of a breach of contract. Contractual inability refers to a party's incapacity to fulfill their contractual duties, often due to reasons such as lack of legal capacity, whereas contract default generally implies a specific failure to meet an obligation, often in financial contexts. Contractual non-compliance encompasses a broader range of issues, including not following regulations or guidelines associated with the contract, rather than focusing solely on the failure to perform. Thus, the most precise choice that encapsulates a failure to uphold a contract's terms is "breach of contract."