What does Covenant Not To Execute mean? Read on to discover the definition & meaning of the term Covenant Not To Execute - to help you better understand the language used in insurance policies.
Covenant Not To Execute
An agreement by the plaintiff in a lawsuit not to enforce a money judgment against a defendant. Covenants not to execute are sometimes given to an insured in exchange for the insured's agreement to allow a consent judgment and an assignment of the insured's potential bad faith claim against a liability insurer.
We hope the you have a better understanding of the meaning of Covenant Not To Execute.