buyout

1 of 2

noun

buy·​out ˈbī-ˌau̇t How to pronounce buyout (audio)
1
: an act or instance of buying out
2
: a financial incentive offered to an employee in exchange for an early retirement or voluntary resignation

buy out

2 of 2

verb

bought out; buying out; buys out

transitive verb

1
: to purchase the share or interest of
2
: to purchase the entire stock-in-trade and the goodwill of (a business)

Examples of buyout in a Sentence

Recent Examples on the Web
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Noun
The Heat is also taking a patient approach in filling out its roster for next season because a few accomplished players could soon become available on the buyout market. Anthony Chiang, Miami Herald, 7 July 2026 Girona’s relegation, along with an attractive buyout clause in his contract, means a healthy queue is already forming. Nick Miller, New York Times, 4 July 2026
Verb
The Lakers acquired Ayton before last season after the Portland Trail Blazers bought out his contract, signing him to a two-year, $16-million deal. Broderick Turner, Los Angeles Times, 3 July 2026 Or buy out an entire state, like, say, Rhode Island. Fran Hoepfner, Vulture, 26 June 2026 See All Example Sentences for buyout

Word History

First Known Use

Noun

1907, in the meaning defined at sense 1

Verb

1598, in the meaning defined at sense 1

Time Traveler
The first known use of buyout was in 1598

Browse Nearby Words

Cite this Entry

“Buyout.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/buyout. Accessed 7 Jul. 2026.

Legal Definition

buyout

1 of 2 noun
buy·​out ˈbī-ˌau̇t How to pronounce buyout (audio)
: an act or instance of buying out

buy out

2 of 2 transitive verb
1
: to purchase the share or interest of
2
: to purchase the entire tangible and intangible assets of (a business)

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