Legal Definition of Nonpayment: Failure to pay a debt, according to an agreement. Nonpayment may serve as the basis for a suit to recover | Discover the legal definition and consequences of nonpayment in this informative article. Learn why addressing nonpayment promptly is crucial for financial stability, protecting your rights, and preserving your business’s reputation. Mitigate the impact of nonpayment and ensure the smooth operation of your business