👉 In accounting, a nondefaulting party is a party that has not paid its debt or obligation to another party. This means that it has not made any payments on its outstanding invoice or contract with the other party and has not received payment from the other party in accordance with the terms of the agreement. For example, if a company owes a supplier $10,000 but has not paid it yet, this is considered nondefaulting. Similarly, if an individual does not pay their
