The failure of a company to pay other debts,such as payables or other loans,when due is called

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Cross default refers to a situation where a company's failure to pay one debt results in the default of other debts as well. This happens when the company has multiple loans or credit facilities with a cross-default clause, meaning that the default in one loan triggers a default in all other loans. This can have serious consequences for the company's financial health and credit rating. A routine default simply means that a company failed to pay a debt on time, while a non-default means the company paid its debts as agreed upon. A compliance default refers to a breach of a specific loan covenant or requirement, such as a financial ratio or minimum liquidity level.

The Failure of a Company to Pay Other Debts,such as Payables