Contract Glossary
De Minimis
Definition
Latin for 'about minimal things' — it refers to amounts or matters so small that the law doesn't bother with them. A de minimis clause sets a threshold below which violations or obligations are treated as too minor to act on.
In Practice
Your contract might say 'breaches involving damages of less than $500 are considered de minimis and won't constitute a material breach.' This prevents either party from weaponizing tiny infractions. Tax law uses de minimis rules too — the IRS won't make you report fringe benefits under $75, for example.
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Frequently asked questions about de minimis
It means 'too small to matter.' When a contract includes a de minimis threshold, it's saying that minor breaches or amounts below that threshold don't trigger enforcement action. A $50 invoice discrepancy in a $500,000 deal is de minimis — not worth fighting about.
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Create your contractThis content is for informational purposes only and does not constitute legal advice. For contracts with significant financial or legal implications, review by a qualified attorney is recommended.