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.
- escapeFlight from captivity
- escape hatchEmergency exit opening
- loopholeExploitable gap in rules
- fine printMiniature contractual text
- provisionPreparatory supply or clause
safeguard · buyer protection · home inspection · inspection · appraisal · financing · mortgage · subject to · walkaway · walk away · negotiation · earnest · deposit · good faith · deadline · waiver · addendum · binding
- real estate documentsdeed, lease, mortgage, title, contract
- contract clausesforce majeure, dispute resolution, boilerplate, provision, severability
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