Definition
The process of ensuring a business follows all applicable laws and regulations governing its industry. It's basically 'don't break the law, and prove you didn't break it.'
Example Usage
The pharmaceutical company spent millions on regulatory compliance to meet FDA requirements for drug manufacturing.
Origin
From 'regulate' (to govern by rules) and 'comply' (to obey)
Fun Fact
Non-compliance can result in fines so massive that they bankrupt companies, making compliance departments essential in heavily regulated industries
Source: Administrative and corporate law terminology
Related Terms
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See “Regulatory Compliance” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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