Severability

Severability
A clause in a contract that allows for the terms of the contract to be independent of one another, so that if a term in the contract is deemed unenforceable by a court, the contract as a whole will not be deemed unenforceable. If there were no severability clause in a contract, a whole contract could be deemed unenforceable because of one unenforceable term.

Also known as a "severability clause" or a "savings clause".

A contract with a severability clause is essentially one contract divided into many different parts: default on one component of the contract does not prevent the rest of the contract from being fulfilled. If a sentence, clause or term in a contract is deemed invalid by a court, then this problem area of the contract will most often be rewritten to fit both the contract's original intent and the requirements of the court.


Investment dictionary. . 2012.

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Look at other dictionaries:

  • severability — the rule of construction of contracts that allows a court to ignore a part of a contract that would render it in some way defective and to read instead what is left. It has been applied to restrictive covenants where, if the words are capable of… …   Law dictionary

  • Severability — In law, severability refers to a provision in a contract which states that if parts of the contract are held to be illegal or otherwise unenforceable, the remainder of the contract should still apply. Sometimes, severability clauses will state… …   Wikipedia

  • severability clause — n: a clause (as in a contract) which states that provisions are severable; esp: a clause in a statute that makes the statute s parts or provisions severable so that one part can be invalidated without invalidating the whole – called also… …   Law dictionary

  • Severability clause — The severability clause (sometimes referred to as a salvatorius clause, from the Latin word salvatorius ) is the name for a special clause that regulates the legal consequences or the applicability of the remaining clauses of a contract when some …   Wikipedia

  • severability doctrine — If promise sued on is related to an illegal transaction, but is not illegal in and of itself, severability doctrine applies, and recovery should not be denied, if aid of illegal transaction is not relied on or required, or if promise sued on is… …   Black's law dictionary

  • severability of contract — The quality in a contract in contrast with entirety. The quality which renders the contract susceptible to division into sets to be performed, each set embracing a performance on the one side which is an agreed exchange for performance on the… …   Ballentine's law dictionary

  • severability of statute — A concept applicable when a part of a statute is unconstitutional, the question being whether severability permits the saving of the part not unconstitutional in itself. The quality of a statute in the respect that a part of it has meaning and… …   Ballentine's law dictionary

  • severability — noun see severable …   New Collegiate Dictionary

  • severability — See severable. * * * …   Universalium

  • severability — separability …   Glossary of international commercial arbitration

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