Ab initio – the start of something (Latin phrase).

Abatement – the cancellation of a writ or action; stopping a nuisance or proportionately reducing payments to creditors or bequests in a will in there is not enough money to pay.

Abscond – the failure of a person to present themselves at court when required e.g. where an individual has been released on bail and not returned to court.

Absolute Privilege – a complete defence to an action for defamation.

Abuse of Law – unfair or improper legal action that has been initiated with selfish or malicious intentions. The abuse of law can originate from nearly any part of the legal system and may include careless or corrupt attorneys, abuses by law enforcement or misconduct from the judiciary.

Accord and Satisfaction – a legal contract where two parties will agree to discharge a tort claim, contract or liability for an amount base that differs from the original amount of that claim. It may also be used to settle claims before they come to court.

Acknowledgement of service – when a defendant agrees that a writ or claim form has been received.

Acquit – where the Court finds someone not guilty for a crime which they were accused.

Acquiescence – a common law that states if a person knowingly permits their civil rights to be infringed they cannot later make a claim against the person that infringed them. An example of this could be if a party has taken no action to start a claim for a significant amount of time this could lead to the other party believing that they have consented to the infringement.

Actus Reus – the “guilty act”, the action or conduct of an individual which is an essential element of a crime (Latin phrase).

Ad idem – in agreement (Latin phrase).

Adjourn – the postponement of a court hearing.

Administrator – the person who is appointed to manage the affairs of a bankruptcy, or to manage the estate of someone who has died without leaving a will.

Administrative receiver – The person appointed by the holder of a floating charge debenture over a company’s assets to collect in and realise the assets of that company and to repay the indebtedness to the debenture holder.

Advocate – a lawyer who speaks in court on behalf of their client.

Affidavit – a sworn statement of truth.

Agreement – where a consensus is reached between parties on a set of facts or course of action.

Aid and Abet – to assist someone or encourage someone to commit a crime.

Allege – to claim a fact is true without or before proof is given.

Allegation – a claim made against someone, often without proof. Or a claim that someone has engaged in an unlawful act.

Alternative Dispute Resolution (ADR) – an umbrella term for alternative ways (other than litigation) to resolve dispute. ADR includes: negotiation, arbitration, mediation, early neutral evaluation, adjudication and expert determination.

Annulment – a term used mostly in bankruptcy proceedings, relating to the cancellation of a bankruptcy which puts the bankrupt into the same position they would have been in had the bankruptcy order never have been made.

Appeal – requesting a court to overturn a lower court’s decision

Appellant – the person who is appealing the court against a decision that the lower court has made.

Application – a formal written request sent to court.

Arbitration – a form of alternative dispute resolution whereby an independent referee can make a legally binding decision without the need of a court. This award can be challenged at court.

Arbitrator – an independent referee who can settle a dispute through alternative dispute resolution, without the need of a court.

Assets – used to define things which have some value which are owned by an individual or corporate personality. In insolvency, assets are anything that belongs to a debtor that may be used to pay his/her/its debts.

Asset Preservation Order – an order of the Court that prevents assets being disposed of or removed outside of the jurisdiction until a claim is resolved (AKA as a freezing order or Mareva injunction).

Asylum – protection and immunity from extradition granted by a government to a political refugee from another country.

Bail – a payment, or promise of payment, which is made in order for an individual who is accused of a criminal act to be released from custody pending trial.

Bailiff – an officer of the court whose duty is to carry out court orders, such as taking debtors goods and selling them to get money to pay a debtor’s debt. A bailiff may also personally serve documents on people.

Bankrupt – Someone against whom a bankruptcy order has been made and who has not been discharged from bankruptcy.

Beneficiary– a person or entity which derives profit or advantage from a legal instrument such as a trust, life insurance policy or will.

Bequest – a gift of money or personal property made in a will, other than land or real property.

Bill of costs – an invoice given by a solicitor to their client which outlines disbursements, fees and any expenses paid.

Bill of Exchange – an unconditional offer from one person to another, which has been signed by the person giving it, which requires the person who it is addressed to, to pay a sum of money on demand or at a future time.

Bill of sale – a document which transfers the ownership of goods from one person to another.

Bona fide– sincere, genuine or good faith (Latin phrase).

Breach of contract – a contract is a legally binding agreement between private parties that creates mutual obligations. The contract is breached when either party breaks one of the terms that has been agreed.

Breach of duty – the failing to carry out something which is required by law, or doing something that the law forbids.

Burden of proof – a party’s duty to produce sufficient evidence to support their allegation or argument.

Byelaws – these are local laws that are made by a local council or enabling power that require something to be done or not done in a specific area. They are accompanied by a sanction or penalty if they are not followed.

Case law – law that is based on the result of previous court cases.

Caveat emptor – “let the buyer beware” a principle whereby the buyer assumes the risk that whatever they are purchasing may be defective and therefore places onus on them to perform due diligence first.

Charge – Security interest taken over property by a creditor to protect against non-payment of a debt (such as a mortgage).

Chattels – personal belongings that can be moved from one place to another.

Chose in action – Bundle of personal rights over a property which can only be claimed or enforced by action, and by not taking physical possession. An example of this could be a cash balance at a bank or money due on a bond.

Civil Law – the law which covers disputes which are not criminal in nature.

Claim – a legal demand given by a person seeking compensation for loss.

Claimant – the person making a claim.

Clause – a section, paragraph, phrase or segment in a legal document, for example, a contract, deed or will.

Client – someone who uses services provided by a lawyer or a Law Firm.

Compensation – recompense for loss, injury, or suffering.

Conciliation – an alternative to alternative dispute resolution where the parties to a dispute use a conciliator, who meets with the parties both separately and together in an attempt to resolve their differences.

Conditions – requirements, restriction or permission added onto a document.

Confidentiality – In practice this means that all client information, whether it be held on paper, digitally or by knowledge of the professional, must not be disclosed without the consent of the client.

Contempt of Court – When someone risks unfairly influencing a court case which may affect the ability to have a fair trial. Contempt of court may include disobeying or ignoring a court order, taking photos or shouting in court or refusing to answer the court’s question if called as a witness.

Contract – an agreement between two or more parties which creates legal obligations for both to perform specific acts.

Conveyancing – the legal process of transferring legal title in property from one person to another.

Counterclaim – a claim made by the defendant that opposes the claimant’s claim. The counterclaim will be included in the same proceedings as the original claim.

Creditor – a person or organisation to whom money is owed.

Culpable – at fault or guilty of something.

Damages – an award, typically of money, paid to a person or organisation for loss or injury.

Debenture – this is a long term security which is issued by a company and secured against its asset in order to yield a fixed rate of interest.

Debt security – a term used to describe a financial instrument, such as a corporate bond, containing a promise by the issuer to pay the holder of the instrument defined amount on or by a specific date, usually with interest.

Deed – A written document with the required formality in which an interest, right or property passes or is confirmed.

Defamation – the making of a false statement regarding an individual which has caused or is likely to cause serious harm to their reputation.

Default – failure to comply with something which is required by law.

Defendant – person to whom the claim is being made against. May also be referred to as the respondent.

Defraud – to take something illegally from another person or to prevent someone from having something that is legally theirs by deceiving them.

Derivative claim – A claim made by a shareholder or continued by a shareholder on behalf of the company in relation to the breach by a director.

Discrimination – being treated unfairly or differently because of factors, such as disability, race, religion or belief, sex or sexuality.

Domicile – the place where a person has their permanent principal home to which they return or intend to return.

Emancipation – freeing a minor from the control of parents and allowing them to live his/her life under her own control. Emancipation may end the parent’s responsibility due to debts, negligence or criminal acts.

Embezzlement – the crime of stealing funds or property of an employer, company or Government.

Employment – the hiring of a person for compensation.

Encroachment – building a structure which is in partially or wholly on a neighbour’s property.

Estate – a person’s property, entitlements or obligations.

Evidence – that which tends to prove or disprove something.

Executor – someone named in a will who will carry out the directions of the will.

Exhibit – a document or object that may be used as evidence during a trial, this evidence is subject to objections by an opposing attorney.

Expert Witness – a person who is a specialist in a subject and may give their expert opinion on the matter without being a witness to any occurrence in the actual lawsuit. The judge has the discretion on whether to qualify whether he/she is an expert or not.

Fair market value – the value at which a property would sell at if it were put on the open market, real estate appraisers will use.

False imprisonment – where a person is restrained by another person who does not have the legal right to. False imprisonment may become a kidnapping if the victim is restrained for a significant amount of time.

False pretences – the crime of knowingly making untrue statements for the purpose of obtaining money or property fraudulently.

Fixed Charge – A charge held over specific assets. The debtor cannot sell the assets without the consent of the secured creditor or repaying the amount secured by the charge.

Floating Charge – A charge held over general assets of a company. The assets may change (such as stock) and the company can use the assets without the consent of the secured creditor until the charge “crystallises” (becomes fixed). Crystallisation occurs on the appointment of an administrative receiver, on the presentation of a winding-up petition or as otherwise provided for in the document creating the charge.

Force majeure – an event that cannot be controlled and will stop duties under an agreement from being carried out.

Foreclosure – the repossessing of a property when the mortgagor has failed to keep up with mortgage repayments. If the debt is not repaid then the property may be repossessed.

Forfeiture – when the tenant has not met the conditions of tenancy agreement therefore losing the possession of the property.

Fraud – lying or deceiving to either make a profit or gain an advantage, or cause someone else to suffer a disadvantage. The intentional misrepresentation or concealment of an important fact upon which the victim is meant to rely, and in fact does rely, to the harm of the victim.

Fraudster – someone who commits fraud.

Garnishee order – a court order to a third party who owes money to a judgement creditor.

General damages – these are damages that a court will give compensation for without the need for specific proof that that damage was done to the claimant.

Grounds (legal) – the basis or foundation of an action.

Guarantor – a person or organisation that promises to pay a debt that is owed by the second person if the second person fails to repay it

Guardian – someone who is appointed to a child or someone incapable formally to look after their interests.

Guilty – a courts verdict that someone is to be charged with the crime they committed.

Hearing (legal) – a legal proceeding where the facts of a particular issue are looked at, and evidence is presented to help decide what the outcome should be.

Hearsay evidence – evidence that is given in court of something said to the witness by another person .

Holding company – a company which controls another company usually due to owning more than half its shares.

Hostile witness – a witness who either refuses to testify in support of the people who called them; or testifies in a way that differs from their previous statement

Incorporated Company – a private company with shares which are not publically traded. Incorporation limits the liability of the shareholders as the company is a separate legal entity.

Indemnity – compensation for/ or protection against loss or damages that might be given by one person to another within a contract or otherwise.

Independent person – someone free from outside control or influence to act in the way they choose.

Inheritance – part of an estate which is transferred on death usually to a family member.

In-house lawyer – lawyers working for organisations, such as banks or local authorities, to provide legal advice to the organisation.

Injunction – an order made by the court requiring someone to do something or not do something.

Insolvent – being unable to pay debts when they are due or where liabilities exceed assets.

Integrity – acting with honesty and morality.

Interest (legal) – a right, claim or privilege.

Interim Injunction– an injunction which is made prior to a civil case coming to trial

Intestate – any person who dies without leaving a will is said to have died intestate.

Joint and several Liability – where two or more parties are equally liable for an agreed obligation. Their liability for breach of the obligation can be therefore enforced against them all or any one of them individually.

Joint tenancy – a tenancy which is equally divided between two or more parties.

Joint venture – a commercial undertaking between parties which retain their individual identities.

Judge – a judge presides over court proceedings and hears all witnesses and evidence presented by the parties of the case, assesses the credibility and arguments of the parties, and then issues a ruling on the matter at hand, based on his or her interpretation of the law and his or her own personal judgment.

Judgment – Is the decision given by a court at the conclusion of a trial.

Judgment creditor – the individual who is owed money after obtaining a judgment at court in their favour.

Judgment debtor – the individual who owes money as per the judgment of the court.

Jurisdiction – the territorial limits which a court has power to make an order.

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Law firm – organisations that employ lawyers to provide legal advice and legal services.

Legacy – gift left to an individual via a will. Land cannot be a legacy.

Legal services – services provided to clients, such as legal advice or representation in court.

Liable – when someone is legally responsible for something.

Liability – can mean something that is a hindrance or puts an individual or group at a disadvantage, or it can be something a person is responsible for.

Lien – Right to retain possession of assets or documents until settlement of a debt.

Limited liability partnership (LLP) – a business partnership in which some or all of the partners have limited liability in terms of their legal and financial obligations.

Liquidation – Applies to companies or partnerships. It involves the realisation and distribution of the assets and usually the closing down of the business.

Litigation – the contest process before a court.

Litigant – a person involved in a lawsuit

Matter – an application, information or an issue that needs to be considered by the relevant authority.

Malfeasance – an unlawful act.

Mediation – a form of alternative dispute resolution in which an independent third party assists the parties to resolve their dispute without going to court.

Misconduct – sometimes used to refer to the act in which a regulated professional, for example a solicitor, breaches a principle.

Misfeasance – Breach of duty in relation to the funds or property of a company by its directors or managers.

Misrepresentation – an untrue statement made by one party to the other which induces them into a contract.

Money Laundering – the practice of concealing the source of funds obtained illegally.

Mortgage – A transfer of an interest in land or other property by way of security, redeemable upon performing the condition of paying a given sum of money.

Mens rea – ‘guilty mind’ the state of mind that a defendant must have had at the time of committing a crime in order to be convicted of the same.

Negligence– is failure to take reasonable care to avoid loss or injury to another person.

Next of kin– is to address a person’s closest relative or relatives.

Nondisclosure – the failure for a party to disclose a fact to the other side that could influence their decision.

Notary – a person who is authorised to certify documents, often this is a solicitor. Documents such as affidavits need to be certified.

Notice of hearing – a written notice informing the parties of the date, time and place that a scheduled hearing will take place.

Notice to quit– A document from a landlord to a tenant informing them to leave the rental premises.

Nuisance– Is an act that is offensive or harmful to others and gives rise to a cause of action.

Oath – an pronouncement of the truth of a statement or promise.

Obiter – a non-essential opinion which forms part of a Judge’s written judgement and does not become legal precedent.

Obligation – a requirement to take a particular type of action, that may have a legal basis through a contract.

Offer – a promise or willingness to do something or refrain from doing something. Once accepted this becomes legally binding contract.

Offeree – the individual who is the recipient of the legally binding offer.

Offeror – the individual who makes the legally binding offer.

Officer (of a company) – A director, manager or secretary of a company.

Omission – a failure to perform a particular act where there was a duty or a legal requirement for that act to be carried out.

Order – the instruction or command of the court.

Outcome(s) – this often means the final decision following an application or an investigation.

Out-of-court settlement – an agreement between the two sides to settle the case privately before the court makes its decision.

Paralegal – someone who supports lawyers in their work. Often paralegals have a law degree but do not have a practicing qualification.

Pari passu – the Latin phrase for equal footing.

Partner – members of a firm who equally share ownership and liability.

Partnership – two or more people working in business together.

Party – a participant of a lawsuit or other legal proceeding.

Passing Off – a misrepresentation that goods or services offered are those supplied by another.

Patent – the exclusive right which is granted over an invention.

Penalty – a clause in a contract that operates when the contract is breached to compensate or protect the innocent party.

Perjury – an offence for giving false evidence or evidence which you do not believe to be true.

Personal guarantee – a pledge by an individual to a bank to repay debt owed to the bank if the bank’s customer fails to pay the debt.

Personal representatives (PRs) – Executors or administrators. If there is more than one personal representative, they must work together to decide matters between them. Disagreements between personal representatives can cause expensive delays.

Petition – A formal application made to a court.

Plea – The defendant’s answer to the accusations.

Plea bargain– is when the defendant pleads guilty instead of not guilty in return for a concession by the prosecution.

Plead – is to declare to the court whether you are guilty or not guilty.

Pledge– is letting someone take possession of goods but the ownership does not change.

Possess– is to have property under your control.

Power of attorney– is a document which gives power to the person appointed by it to act for the person who signed the document.

Prima facie – Latin term used to describe something that appears on the face of it to be true.

Pro bono – Latin term for professional work undertaken voluntarily and without payment or at a reduced fee. Find out more about getting free legal advice.

Property– is the name for anything which can be owned.

Prosecution– is bringing proceedings against someone else.

Prospectus– is a formal document giving details of a company’s past performance and future plans.

Proviso– is a clause in a legal document which qualifies another section of the agreement.

Proxy – Instead of attending a meeting, a person can appoint someone to go and vote in their place.

Public interest – the overall welfare of the general public.

Quantum – the value of the claim.

Quantum meruit – Latin for “as much as has been earned” – the equitable remedy in a claim to recover a reasonable sum in respect of services supplied to the defendant equivalent to the amount he deserves or has earned

Quash– to invalidate or set aside a conviction

Quiet possession– is using property without interference. When property is sold the buyer should be able to use the property free from interference by the seller.

Realise – Realising an asset means selling it or disposing of it to raise money, for example to sell an insolvent’s assets and obtain the proceeds.

Receiver – The commonly used name for an administrative receiver. The term can also mean a person appointed by the court or with the power to receive the rents and profits of property. Receivers who are not administrative receivers do not need to be insolvency practitioners.

Receivership – A company in administrative receivership is often said to be “in receivership”.

Remunerate – to pay or reward someone for something they have done or a service they have provided, such as a company paying an employee.

Rescission – A procedure that cancels a winding-up order.

Release – The process by which the Official Receiver or an insolvency practitioner is discharged from the liabilities of office as trustee/liquidator or administrator.

Remedy/redress– when a court or other applicable body grants protection, recovery or enforcement of rights or recovery of damages.

Remote hearing – A hearing that is held without the people involved coming to court in person. Instead those involved will attend the hearing by telephone or video link.

Reply – a statement of case filed and served in response to the Defence.

Rescission – the setting aside of a voidable contract which is treated as if it never existed

Restitution – the return of property to the owner or person entitled to possession, particularly where an individual or entity has been unjustly enriched and unjustifiably received the property where the goods have been transferred under duress, mistake, fraud or illegality.

Restriction – a limitation of the right of a registered proprietor to deal with the land or charge in registered title.

Restrictive covenant (employment)– a restriction set out in an employment contract preventing the employee from taking certain steps post-employment e.g. working for a competing business

Restrictive covenant (property)– an obligation set out in a deed that curtails the rights of an owner of land.

Residue– is what is left of an estate after all debts, taxes, expenses and specific legacies have been dealt with.

Resisting arrest– is when a person trying to prevent the police arresting him or her.

Resolution– is a decision taken by the members of a company in a meeting.

Respondent– is the person an action is being taken against.

Restraining order– is an order which a court may issue to prevent a person from doing a particular thing.

Restriction– is placed on a piece of land the owner cannot sell or mortgage the land.

Retainer– is a payment to a barrister to act in a case.

Rights of audience – generally a right of a lawyer to appear and conduct proceedings in court on behalf of their client.

Risk – the likelihood that a particular choice or action might lead to a loss or damage.

Ratio decidendi – the reasons or principles of law on which the court reaches its decision

Scam – any scheme that cheats people out of their property or money, or causes them damage for the benefit of others.

Secured Creditor – A creditor who holds security, such as a mortgage, over a person’s assets for money owed. A secured creditor is likely to be paid first.

Security – A charge or mortgage over assets taken to secure payment of a debt. If the debt is not paid, the lender has a right to sell the charged assets. Security documents can be very complex. The commonest example is a mortgage over a property.

Set aside – a court order voiding or cancelling another order or judgment

Settlement – where the parties agree between themselves or with the use of a mediator, to resolve the claim prior to commencing litigation or without going to trial.

Shadow Director – A person who, without being formally appointed, gives instructions on which the directors of a company are accustomed to act.

Share capital – the money that is invested directly in a company by its members

Sole practitioner – a lawyer who runs his or her own law firm without other partners, directors or members.

Statement of Affairs – A document sworn under oath, completed by a bankrupt, company officer or director(s), stating the assets and giving details of debts and creditors.

Statute of limitation – a law which sets out the time limits within which a court action must take place.

Statutory declaration – a formal statement in a prescribed form affirming that something is true to the best knowledge of the person making the declaration.

Stay of execution – an order suspending the execution of an order of the court or judgment

Stay of proceedings – an order pausing civil legal proceedings

Summary judgment – a party can apply to the Court for an order dismissing a claim summarily and based on the allegation that there is no claim or defence with a reasonable prospect of success.

Tax – Is the amount of money that you need to pay the government so the government can pay for public services.

Taxable year – is a 12 month period where tax return covers.

Tenancy – is when a tenant has control of land for a period of time

Third Party– an individual or group that does not have direct connection with the two parties for example in a deal or contract but who might be still affected by it.

Tort – a wrongful act or omission, other than a breach of contract, for which damages can be awarded in a civil court by the person who has been wronged.

Transparent– is being open and honest in a way that others can understand.

Tribunal – a person or group who collectively have the authority to determine a dispute as a form of alternative dispute resolution.

Unfair dismissal – an employee is entitled to make a claim for unfair dismissal once they have been employed for two years, full or part-time, and they are dismissed for any of these reasons.

Unlawful – illegal or contrary to social convention.

Unsecured Creditor – A creditor who does not hold security (such as a mortgage) for money owed. Some unsecured creditors may also be preferential creditors.

Undisclosed Bankrupt – Someone against whom a bankruptcy order has been made and who has not been discharged from bankruptcy.

Valuation– Is the process that determines the value or worth of an asset.

Vendor– Is the seller of something. Most often used to refer a transaction involving real property.

Venue– The location proposed of a judicial hearing.

Vicarious liability– Is where an employer of an employee injures someone through negligence whilst in the course of employment.

Vesting order– is a way where the High Court transfers land without the need for a conveyance.

Vexatious litigant– is a person who regularly brings court cases which have little chance of succeeding.

Violent disorder– is when three or more people in a gathering are threatening to or using unlawful violence.

Void– unable to be enforced by the Law.

Warrant – a legal document permitting the police to take certain actions such as arresting a suspect or searching a property.

Waiver– an act of relinquishing or refraining from asserting a legal right.

Will – a legal document declaring a person’s wishes about the way their estate should be distributed upon their death.

Winding-up (Or liquidation) – the procedure whereby the assets of a company (or partnership) are gathered in and realised, the liabilities met and the surplus, if any, distributed to members.

Winding-up Petition – A winding-up petition is a petition presented to the court seeking an order that a company be put into compulsory liquidation.

Winding-up Order – Order of a court, usually based on a creditor’s petition, for the compulsory winding up or liquidation of a company or partnership.

Without prejudice – when this is written on the document it can not be used as evidence.

Witness – someone who watches a document being signed to verify the authenticity of the document; or testifies regarding an event.

Xenophobia – Dislike of or prejudice against people from other countries, which have legal implications in areas such as Discrimination Laws.

Youthful Offender – A legal status for certain offenders, which may provide them with different procedural treatment or sentencing options compared to adult offenders

Zoning – The process of dividing lands in a municipality into zones in which certain lands are permitted or prohibited.

Zoning Ordinance – A law that defines how property in specific geographical zones can be used.

Zoning Variance – A legal exception to the zoning ordinance, allowing the property to be used in a manner not generally permitted.