Break Fee

0.01 sec.

Break Fee

1. In a contract between two parties, an amount of money one party may pay the other in order to agree to dissolve the contract. In many cases, the amount of the break fee is contained in the contract itself. It may diminish over time, depending on the nature of the contract. Break fees are common in leases.

2. In mergers and acquisitions, a fee the target pays to the acquirer in case a deal fails before completion. Theoretically, this is done to reimburse the acquirer for due diligence expenses, but, in practice, it is often used to attempt to restore good relations between the two companies.

Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.

?Page tools

Printer friendly
Cite / link

Feedback
Add definition

Mentioned in	?		References in periodicals archive	?		Financial browser	?		Full browser	?
Buy Out buyout			But the Treasury will still demand a break fee if it succeeds in avoiding the APS, newspaper reports claimed. Bank faces pounds 1bn fee by Huddersfield Daily Examiner (Huddersfield, England) CVC must be given the chance to match any higher offer, but if it declines it will receive a pounds 175m break fee. Barclays sale talks; Inbrief by Evening Gazette (Middlesbrough, England) CVC must be given the chance to match any higher offer, but if it declines it will receive a pounds 175m break fee. Second bidder eyes up Barclays' business; FINANCE: COMPANIES TODAY by The Journal (Newcastle, England)			Brand Switching Branding Brandt Report Brass Brazilian Federal Board of Accountancy Brazilian Identity Card Brazilian Institute of Accountants Brazilian Real BRB BRC BRE Bre-X Minerals Ltd. Breach Breach of Concession Agreement breach of contract Breach of Specified Governmental Obligations Breach of Warranty Breadth Breadth Indicator Breadth of Market Breadth of the Market Breadwinner Break Break Bulk Cargo Break Even Break Fee Break Forward Break in Service Break Issue Break Price break through Break-Even Analysis Break-Even Chart Break-Even Equation Break-even lease payment Break-even payment rate break-even point Break-Even Sales Break-Even Tax Rate Break-Even Time Break-Even Yield Breakage Breakaway Gap breakdown method Breakeven Breakeven Analysis Breakeven rate Breakeven Time Breaking a Buck Breaking the Syndicate Breakout			Break even analysis Break even analysis Break Even Chart Break Even Charts Break Even Equation Break Even Equations Break Even Graph Break Even Graphs Break even point Break even point Break even point Break even point Break Even Points Break Even Points Break Even Points Break Even Sales Break Even Tax Rate Break Even Tax Rates Break Even Time Break Even Times Break Even Yield Break Even Yields Break Exclusion Requirements break faith break faith break faith break faith with break faith with Break fall break fealty Break Fee break feeding Break Fees break for break for color break for color Break For Lunch Break for the Border break forth Break Forward Break Forwards break free Break Free Industries Break Free Ministries break frequency break fresh ground break fresh ground break fresh ground break fresh ground break from prison Break Glass Switch Break Glass Unit break ground break ground break ground break ground break ground break ground break habit break heart break heart

Financial Dictionary

Free Tools:	For surfers: Free toolbar & extensions \| Word of the Day \| Help For webmasters: Free content \| Linking \| Lookup box \| Double-click lookup

Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.