What is it?
Clause Type | It governs the method and immediacy of performance obligations within contracts, especially payment terms or notice delivery.
wire
UCC / CommercialLegal glossary term
Quick answer
Wire usually means an electronic transmission of data or funds across a network. In contracts, it matters because it establishes when obligations are met or breached. Before signing, check for specific definitions regarding delivery method (e.g., ACH vs. SWIFT).
Definitions
What is wire?
Legal Definition
A wire, in a legal sense, describes an electronic transmission of data or funds across a communication network. This term establishes specific rights regarding timely delivery, confirmation, or payment obligation under commercial agreements. Practitioners often focus on whether the 'wire' was sent via SWIFT, ACH, or direct bank transfer.
Plain-English Translation
A wire is like sending a message through the phone line instantly instead of writing it on paper and mailing it. If you send a promise by wire, that counts as making it right away, not later when the mail arrives.
Contract relevance
Why wire matters in contracts
Ignoring the specific definition of 'wire' can lead to a breach of contract claim, allowing the injured party (the recipient) to sue for damages. The transmitting party bears this risk.
Document context
Where wire appears in documents
| Document type | Section | Why it matters |
|---|---|---|
| Master Service Agreement | Definitions Section | Determines the official date of performance. |
| Payment Terms Addendum | Payment Schedule Clause | Dictates when funds are legally considered received by the seller. |
| UCC Sales Contract | Delivery/Acceptance Article | Governs commercial goods transfer via electronic means. |
| Litigation Brief | Evidence Log | Proves the exact time and method a notice or payment was sent. |
| Banking Compliance Form (e.g., ACH authorization) | Transmission Details Field | Confirms the specific network used for the financial movement. |
Contract language
Common contract wording
| Contract wording | Plain-English meaning | What to check |
|---|---|---|
| Funds shall be wired via Fedwire on business days. | Means money moves electronically through a Federal Reserve channel. | Verify if 'Fedwire' is defined elsewhere. |
| Notice must be provided by wire transmission. | Requires electronic notification, usually instant or near-instant. | Confirm if email constitutes a valid 'wire'. |
| The agreement relies upon the successful wire of goods. | Signifies that physical delivery confirmation via electronic means is required. | Check for accompanying tracking/confirmation numbers. |
Red flags
Red flags to watch for
Wording examples
Clearer wording examples
Vague wording
Funds shall be wired via ACH transfer, confirmed by SWIFT notification.
Clearer wording
This specifies both the mechanism and the confirmation standard used for payment.
Vague wording
Notice must be provided by electronic wire transmission to the designated email address.
Clearer wording
Pinpoints the method (electronic) and the required delivery point (email).
Vague wording
The agreement relies upon the successful wire of goods, confirmed via carrier manifest upload.
Clearer wording
Ties the abstract 'wire' concept directly to a concrete digital proof.
Note: “clearer” means easier to read — not legally reviewed or guaranteed safe.
Pre-signature checklist
What to check before signing
1
Is the specific transmission method named (e.g., ACH, SWIFT)?
2
What is the required time standard for completion?
3
Who must receive the wire confirmation? (Recipient Party)
4
Does the contract define 'Wire' itself if it appears elsewhere?
5
Are there penalties for late or failed wires?
6
Is the geographical location of the sending bank specified?
Party impact
How wire affects each party
| Party | What this party should check |
|---|---|
| Seller | Must ensure their outgoing electronic transfer meets contractual timing. |
| Buyer | Needs to verify receipt promptly and confirm the funds arrived correctly. |
| Service Provider | Must prove that service milestones were transmitted via wire as agreed. |
| Lender/Bank | Needs clarity on which network's confirmation counts for loan disbursement. |
Comparison
wire vs similar terms
| Related term | Plain meaning | Main difference from wire |
|---|---|---|
| General electronic communication | Wire implies a more formal, often financial or time-sensitive transfer across a dedicated network. | |
| Fax Transmission | Older transmission method | A wire is typically instantaneous/near-instant; faxing can take longer depending on the line quality. |
| Physical Delivery | Tangible goods movement | A wire pertains to the *transmission* of data or money, not the physical object itself. |
Missing or vague
If wire is missing or vague
If the term 'wire' lacks definition, disputes will flare over when performance technically occurred. For instance, did the payment arrive at midnight local time, or is that considered too late? Another conflict arises regarding confirmation; a simple email notification might not satisfy a clause requiring a formal bank wire confirmation.
Document map
Document section map
| Contract section | What to inspect |
|---|---|
| Definitions | The precise meaning of 'Wire' itself should be established here. |
| Payment Terms | Check the trigger point clauses. |
| Notice Clause | Verify delivery requirements. |
| Acceptance/Delivery | Assess when goods are officially transferred. |
Visual model
Understand wire fast
An explainer image has not been generated for this term yet.
01
Borrower | Sends payment instructions via ACH wire | The lender immediately records funds received as per contract terms.
02
Franchisor | Sends required operational update notice by secure email wire | The franchisee must comply within 3 business days of receipt.
03
Landlord | Wire transfers the security deposit to the management account | The tenant's obligation to pay is satisfied instantly upon bank confirmation.
Document context
How wire shows up in legal documents
Why does it matter?
Ignoring the specific definition of 'wire' can lead to a breach of contract claim, allowing the injured party (the recipient) to sue for damages. The transmitting party bears this risk.
When does it matter?
The term triggers immediately upon successful transmission and receipt confirmation across the agreed-upon network platform. This timing is critical when calculating interest accrual periods.
Where is it usually seen?
This concept appears frequently in UCC § 3-204 (in contracts), standard payment terms within loan documentation, and wire transfer clauses in ISDA master agreements.
Who is affected?
The creditor gains immediate proof of payment upon receipt of a funds wire. Conversely, the debtor risks default if they claim the wire was lost or delayed en route.
How does it work?
First, the sender transmits data via an electronic medium. Then, the receiving institution processes and confirms that transmission. Finally, this confirmation solidifies the legal moment the obligation is deemed met or breached.
Share
Send this term to someone else fast
Copy the link, open native sharing, or scan the QR code from another device.
Scan to open this glossary page on another device.
Wikipedia
Wire
A wire is a flexible, round bar of metal. Wires are commonly formed by drawing the metal through a hole in a die or draw plate. Wire gauges come in various standard sizes, as expressed in terms of a gauge number or cross-sectional area. Wires are used to bear...
Open on Wikipedia →Knowledge graph
Where wire connects to real contract work
This layer links the term to nearby glossary entries, document use cases, and contract-risk guides so readers can move from definition to context without dead ends.
9nodes
Glossarywire transferwire transfer often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause aro...Glossaryaccrual periodaccrual period often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause ar...Glossaryagreementagreement often shapes similar contract language wording, negotiation leverage, and the plain-English meaning of the clause around...
BGRisk context hubGlossary meaning, document paths, and adjacent risk pages connected around this clause.
Use caseReview Project Proposal Terms Before Sending or SigningBusiness & Commercial Contracts: Upload a Project Proposal Terms to spot risky clauses, payment traps, ownership issues, and negoti...Use caseCheck Vendor Contract RisksBusiness & Commercial Contracts: Check a Vendor Contract for common risks and hidden one-sided clauses.Use caseCheck Consulting AgreementBusiness & Commercial Contracts: Check a Consulting Agreement for common risks and hidden one-sided clauses.RiskFinancial obligations clause riskPlain-English risk guide for financial obligations clause risk.RiskPenalty for breach clausePlain-English risk guide for penalty for breach clause.RiskLate payment penalties contractPlain-English risk guide for late payment penalties contract.
Source & disclosure
This page is an AI-assisted plain-English explanation based on LexPredict Legal Dictionary context and contract-review patterns. It is not legal advice. Meaning may vary by jurisdiction, industry, and exact clause wording.
Move from term to document
See the real contract language around this term
A glossary definition helps, but actual risk usually lives in the surrounding clause. Upload the full document and BrieflyGo will map plain-English meaning, red flags, and next steps.