What is it?
This term functions as a contractual clause type, governing when a specific agreement provision achieves full legal effect or ripeness within the contract lifecycle.
built
Contract LawLegal glossary term
Quick answer
What does built mean?
Built usually means a contractual obligation or provision is fully established and legally operative at a moment in time. In contracts, it matters because it determines when rights and duties become enforceable against you. Before signing, check that the term isn't conditional upon an undefined future event.
Definitions
What is built?
Legal Definition
A built term signifies that a contract provision or obligation is fully established, complete, and operative at a specific point in time. When an agreement is deemed 'built,' it legally creates enforceable rights and duties between the signing parties. Courts often examine whether a term was irrevocably built before a subsequent event occurred, such as breach or termination.
Plain-English Translation
If your permission slip says you are 'built' to go to the park on Tuesday, that means the permission is set in stone for that day. It’s not just suggested; it's confirmed and ready to use.
Term context
How built shows up in legal documents
Why does it matter?
Misapplying this concept can lead to a party claiming an obligation was never 'built,' thereby avoiding liability for breach. The risk generally falls on the party arguing against the established nature of the term.
When does it matter?
The term is most relevant when a triggering event occurs, such as the closing date of a sale or the execution date of a lease agreement. It fixes the status at that precise moment.
Where is it usually seen?
You frequently encounter this language in standard commercial purchase orders and within clauses governing warranties under UCC Article 2 agreements.
Who is affected?
The indemnitor often seeks to prove their duty was 'built' before the loss occurred, while the indemnitee relies on that status for immediate recovery. A tenant claims a lease term is built when they move in.
How does it work?
First, parties agree to terms; then, an action or date solidifies the agreement into a binding state. This process builds the obligation, making it enforceable against all involved signatories immediately thereafter.
Contract relevance
Why built matters in contracts
Misapplying this concept can lead to a party claiming an obligation was never 'built,' thereby avoiding liability for breach. The risk generally falls on the party arguing against the established nature of the term.
Document context
Where built appears in documents
| Document type | Section | Why it matters |
|---|---|---|
| Master Service Agreement | Governing Provisions Clause | To confirm obligations are set before work begins |
| Sales Contract | Scope of Work Section | To ensure specific deliverables are fixed and binding |
| Lease Agreement | Rent Payment Schedule | To establish exactly when the monthly rental duty is 'built' |
| Indemnification Clause | Triggering Event Subsection | To verify the event that activates your protective right has occurred |
| Option Agreement | Grant Date Stipulation | To lock in the date the right to purchase/use becomes irrevocable |
Contract language
Common contract wording
| Contract wording | Plain-English meaning | What to check |
|---|---|---|
| The obligation shall be built upon acceptance of the final draft. | This duty is fully created once you sign off on the document. | Verify that 'acceptance' has a clear metric attached. |
| This clause is considered built as of January 1st, 2024. | The legal force of this provision starts precisely on that date. | Check if any conditions were supposed to precede that date. |
| The warranty term is fully built upon delivery. | Your protection against defects starts the moment the goods arrive at your dock. | Determine what constitutes 'delivery' in your specific contract. |
| If the payment terms are built, you must remit funds within thirty days. | Once the rules are set, the clock starts running immediately. | Look for a clear starting point for the 30-day countdown. |
Red flags
Red flags to watch for
Subject to mutual written agreement (if no date is present)
This leaves ambiguity about when the term becomes fully operative.
What to check: Demand a specific effective date or trigger event.
Upon reasonable determination by the Seller
'Reasonable' is subjective and opens you up to disputes over timing.
What to check: Ask for objective criteria defining 'reasonable'.
Pending final regulatory approval from State X
If that approval stalls, you don't know when your obligation becomes firm.
What to check: Identify the backup event if the primary approval fails.
As soon as practicable following receipt of notice
This vague timeline allows the other side to delay activating the term indefinitely.
What to check: Insist on a maximum timeframe for 'practicable'.
Wording examples
Clearer wording examples
Vague wording
The obligation is built upon signature by both parties.
Clearer wording
The duty becomes legally binding immediately when both sides sign.
Vague wording
This clause is considered built effective the date of delivery confirmation.
Clearer wording
The legal force starts the moment we confirm receipt via tracking scan.
Vague wording
The warranty term is fully built upon acceptance testing completion.
Clearer wording
Your protection begins only after our QA team signs off on the test report.
Note: “clearer” means easier to read — not legally reviewed or guaranteed safe.
Pre-signature checklist
What to check before signing
1
Is there an explicit effective date stated?
2
What event triggers the term becoming 'built' (e.g., signing, delivery)?
3
If conditional, what is the condition that must be met?
4
Does the contract define the key terms used in the clause?
5
Can the triggering event happen before or after a specified deadline?
6
Is there any language allowing unilateral revocation of the 'built' status?
Party impact
How built affects each party
| Party | What this party should check |
|---|---|
| Buyer | Should check when their right to receive goods becomes definitively built. |
| Seller | Must confirm when their duty to perform is legally built, preventing post-signing excuses. |
| Service Provider | Needs to verify that the scope commitment is built before starting substantial work. |
| Lender | Checks when the borrower's repayment obligation is fully built and enforceable. |
Comparison
built vs similar terms
| Related term | Plain meaning | Main difference from built |
|---|---|---|
| Condition Precedent | A required event *before* a term becomes built. | The condition must happen first; then, the term locks in. |
| Covenant | A promise or agreement to do something. | A covenant is the action itself; 'built' describes when that action starts being legally demanded. |
| Default Trigger | The specific breach that activates penalties. | A default trigger is a point *within* an already built term, signaling failure. |
Missing or vague
If built is missing or vague
If the term isn't defined clearly, disputes often erupt over timing—was it 'built' Monday or Tuesday?
Without specifics, courts must guess what 'reasonable' means in your industry.
This ambiguity allows one party to argue that a protective right was never truly established until they felt like invoking it.
It can lead to arguments about whether deadlines started running at the signing time or upon mailing.
Document map
Document section map
| Contract section | What to inspect |
|---|---|
| Definitions Section | Look for how the contract defines terms like 'Effective Date' or 'Acceptance'. |
| Scope of Work/Deliverables | Inspect the language around completion and acceptance. |
| Payment Terms | Examine clauses dictating when payment obligations are fixed. |
| Termination Clause | Check if termination rights vest immediately or only after a notice period expires. |
Visual model
Understand built fast
An explainer image has not been generated for this term yet.
01
Landlord agrees that the rent payment term is 'built' on January 1st, granting tenant immediate possession rights.
02
Borrower states the default interest rate term was 'built' upon signing the mortgage document.
03
Franchisor asserts the quality control standard term was 'built' when the initial franchise agreement executed.
Questions & answers
Common questions about built
What does built mean?
Built usually means a contractual obligation or provision is fully established and legally operative at a moment in time. In contracts, it matters because it determines when rights and duties become enforceable against you. Before signing, check that the term isn't conditional upon an undefined future event.
What is built in plain English?
If your permission slip says you are 'built' to go to the park on Tuesday, that means the permission is set in stone for that day. It’s not just suggested; it's confirmed and ready to use.
Why does built matter in a contract?
Misapplying this concept can lead to a party claiming an obligation was never 'built,' thereby avoiding liability for breach. The risk generally falls on the party arguing against the established nature of the term.
When does built apply?
The term is most relevant when a triggering event occurs, such as the closing date of a sale or the execution date of a lease agreement. It fixes the status at that precise moment.
Where does built appear in documents?
You frequently encounter this language in standard commercial purchase orders and within clauses governing warranties under UCC Article 2 agreements.
Who is affected by built?
The indemnitor often seeks to prove their duty was 'built' before the loss occurred, while the indemnitee relies on that status for immediate recovery. A tenant claims a lease term is built when they move in.
How does built work?
First, parties agree to terms; then, an action or date solidifies the agreement into a binding state. This process builds the obligation, making it enforceable against all involved signatories immediately thereafter.
What happens if built is missing or vague?
If the term isn't defined clearly, disputes often erupt over timing—was it 'built' Monday or Tuesday? Without specifics, courts must guess what 'reasonable' means in your industry. This ambiguity allows one party to argue that a protective right was never truly established until they felt like invoking it. It can lead to arguments about whether deadlines started running at the signing time or upon mailing.
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Wikipedia
Built
Built may refer to: Built (TV series), an American reality television series that aired on the Style Network Built: the hidden stories behind our structures, 2018 book by Roma Agrawal Building
Open on Wikipedia →Knowledge graph
Where built connects to real contract work
This layer links the term to nearby glossary entries, document use cases, and contract-risk guides so readers can move from definition to context without dead ends.
9nodes
Glossarypurchase orderpurchase order often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause ar...Glossaryagreementagreement often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause around...Glossaryclosing dateclosing date often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause arou...
BGRisk context hubGlossary meaning, document paths, and adjacent risk pages connected around this clause.
Use caseReview Commercial Lease Agreement For Hidden CostsReal Estate Contracts: Upload a Commercial Lease Agreement to spot risky clauses, payment traps, ownership issues, and negotiation...Use caseAnalyze a Catering Service Agreement for Event RisksBusiness & Commercial Contracts: Upload a Catering Service Agreement to spot risky clauses, payment traps, ownership issues, and ne...Use caseReview a Sublease Agreement Before You Move InReal Estate Contracts: Upload a Sublease Agreement to spot risky clauses, payment traps, ownership issues, and negotiation pressure...RiskRenewal cancellation termsPlain-English risk guide for renewal cancellation terms.RiskClient cancellation clause riskPlain-English risk guide for client cancellation clause risk.RiskPost termination obligations riskPlain-English risk guide for post termination obligations risk.
Source & disclosure
This page is an AI-assisted plain-English explanation based on LexPredict Legal Dictionary context and contract-review patterns. It is not legal advice. Meaning may vary by jurisdiction, industry, and exact clause wording.
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