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Simple English definitions for legal terms
fixed price
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A quick definition of fixed price:
Fixed price: A set amount of money that does not change. This means that the price will stay the same no matter what happens. For example, if you buy a toy for $10 and it is a fixed price, you will always pay $10 no matter if the toy becomes more popular or if the store has a sale. A fixed price contract is an agreement where the price for a product or service is set and will not change during the duration of the contract.
A more thorough explanation:
Definition: A fixed price is a set amount of money that does not change.
Example: If you go to a store and buy a candy bar for $1, that is a fixed price. The price will not change no matter how many candy bars you buy.
Explanation: Fixed price means that the cost of something is set and will not change. This is different from something that has a variable price, like the stock market, where the price can go up or down. The candy bar example shows that no matter how many candy bars you buy, the price will always be $1. This is because it is a fixed price.