contingency clause

Contract exit condition

A contingency clause is a provision in a contract that makes the agreement dependent on certain conditions being met.

In real estate, a buyer might include a contingency clause requiring the sale of their current home before closing, or making the purchase conditional on a satisfactory inspection: The deal fell through when the financing contingency wasn't satisfied.

These clauses protect parties from being locked into agreements when circumstances change.

Related

safeguard · buyer protection · home inspection · inspection · appraisal · financing · mortgage · subject to · walkaway · walk away · negotiation · earnest · deposit · good faith · deadline · waiver · addendum · binding

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conditionality

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Unwavering promise to act

fixed term

commitment firmness

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Irrevocable purchase proposal

binding promise

Family

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