A transaction between brokerage concerns that is not completed by delivery and payment on a settlement date. (1) Fail Position: The situation of the broker/dealer when after all the buy and sell transactions in a security have been netted out, owes another broker/dealer more securities than it has coming from still other firms. (2) Fail to Deliver: A situation in which the selling broker/dealer does not receive securities from the client in time to make delivery with the buying broker/dealer. (3) Fail to Receive: A situation in which the buying broker/dealer has not received the securities from the selling firm.