Defining Ordinary: Understanding the Legal Definition

As a business owner, it is crucial to have a clear understanding of legal terms that may impact your operations. One such term is ordinary, which holds significant importance in various legal contexts. In simple terms, ordinary refers to something that is usual or normal, as opposed to extraordinary. Let’s delve deeper into the legal definition of ordinary and explore its implications.

Legal Definition of Ordinary

In legal terms, ordinary is often used to distinguish between regular and exceptional circumstances. It refers to actions, events, or situations that are commonly encountered in everyday life or business operations. For example, if a contract specifies that a party must provide ordinary care, it means they are expected to exercise the level of care that a reasonable person would under normal circumstances.

Moreover, the legal definition of ordinary can vary depending on the specific context. In contract law, it may refer to the standard of care or performance expected from parties involved. In criminal law, it may be used to determine the severity of an offense by distinguishing between ordinary and aggravated circumstances.

Examples of Ordinary

To better grasp the concept, let’s consider a few examples of ordinary situations:

1. Ordinary Wear and Tear: When renting out a property, it is expected that tenants will cause some wear and tear to the premises over time. This is considered ordinary and is typically the responsibility of the landlord to address.

2. Ordinary Business Expenses: Every business incurs regular expenses such as rent, utilities, and salaries. These are considered ordinary business expenses and can be deducted from taxable income.

3. Ordinary Course of Business: When a company engages in activities that are consistent with its usual operations, it is said to be acting in the ordinary course of business. This term often arises in bankruptcy proceedings to determine if a transaction is valid or fraudulent.

The Importance of Understanding Ordinary

Having a clear understanding of the legal definition of ordinary is crucial for several reasons:

1. Compliance: By understanding what is considered ordinary in your industry or legal context, you can ensure that your actions and operations align with legal requirements and standards.

2. Risk Management: Recognizing the distinction between ordinary and extraordinary circumstances allows you to assess potential risks and take appropriate measures to mitigate them. This can help protect your business from legal disputes and financial liabilities.

3. Contractual Agreements: Many contracts include provisions that require parties to act with ordinary care or perform ordinary tasks. Understanding this requirement ensures that you fulfill your contractual obligations and avoid any breach of agreement.

As a business owner, familiarizing yourself with legal terms like ordinary is essential for navigating the complexities of the legal landscape. By understanding the legal definition of ordinary, recognizing its implications, and applying it appropriately in your business operations, you can ensure compliance, manage risks effectively, and maintain strong contractual relationships. Remember, ordinary may seem like a simple term, but its significance should not be underestimated.



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