Contract Law
Bad Faith
/ bad fayth /
Definition
Dishonesty or intentional breach of known duty in a transaction.
Used in Context
“Insurance company bad faith in denying a valid claim can result in punitive damages.”
Etymology
Old English: baed, bad
Learn a new legal term every day
Lex gives you one legal term daily with flashcards, quizzes, and essays — completely free.
Start Learning Free →