Contingency

A clauseThis identifies a specific part of a policy or endorsement. in a purchase contractThe formal legal document, also known as the "policy" that describes the agreement between the policyholder outlining conditionsProvisions of an insurance policy that state the rights and duties of the insured or the insurance company. that must be fulfilled before the contract is executed. Both, buyerA market participant who takes a long futures position or buys an option. An option buyer is also called or sellerA person who makes a transfer of title to real estate. may include contingencies in a contract, but both partiesThose entities taking part in a transaction as a principal, e.g., seller, buyer, or lender in a real estate transaction. must accept the contingency.

Contingency

A conditionIn contracts, a future and uncertain event which must happen to create an obligation or which extinguishes that must be met before a contractThe formal legal document, also known as the "policy" that describes the agreement between the policyholder is legally binding. For example, homeHOME: Provides funds to local governments and states for new construction, rehabilitation, acquisition purchasers often include a contingency that specifies that the contract is not binding until the purchaser obtains a satisfactory home inspectionAn examination of the structure and mechanical systems to determine a home's quality, soundness and report from a qualified home inspectorYou hire and pay for this individual to analyze the home's physical condition before you buy it..

Contingency

A conditionIn contracts, a future and uncertain event which must happen to create an obligation or which extinguishes that must be met before a contractThe formal legal document, also known as the "policy" that describes the agreement between the policyholder is legally binding. For example, homeHOME: Provides funds to local governments and states for new construction, rehabilitation, acquisition purchasers often include a home inspectionAn examination of the structure and mechanical systems to determine a home's quality, soundness and contingency; the sales contractA contract by which buyer and seller agree to the terms of the sale. is not binding unless and until the purchaser has the home inspected.

Contingency

The dependence upon a stated event which must occur before a contractThe formal legal document, also known as the "policy" that describes the agreement between the policyholder is binding. Used both in the context of a loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without and a contract of saleSame or similar to "contract to purchase." See also "contract to purchase" under "mortgage.".