The state or condition of being unable to pay money owed, by a person or a company, on time. Those in a state of insolvency are referred to as insolvent.

A period immediately after the deadline for the performance of an obligation during which a late fee or penalty, or other action would have been taken as a result of failing to meet the deadline, is waived provided that the obligation is satisfied during the grace period. Grace periods can range from a couple of minutes to a number of days or longer, depending on the context, and can apply in various situations, such as complying with a legal obligation by a specified deadline.

A demonstration of the willingness of a party to enter into a bargain, made in such a way that another individual is justified in understanding that his or her assent to the bargain is invited and that such assent will conclude the bargain. The general rule is that it must be reasonable in the circumstances for the recipient to believe that the communication is an offer. The more definite the communication, the more likely it will constitute an offer.