Although fine and penalty are sometimes used as synonyms, there are differences between the two notions. Fine refers to some special case, penalty is more general and can refer to a number of things. Fine is always a monetary charge imposed upon someone who has committed a crime or an offence of a minor degree (for example, breaking the Highway Code). Penalty has a more general meaning and refers to punishment which can take various forms, for example, imprisonment, or community service, but a penalty fine, as well. Fines can be imposed in addition to imprisonment, for instance, if the court determines in this way. In civil law, penalty can be imposed in connection with contracts, meaning if one party failed to perform their duties according to the document.
