Condition Subsequent Definition and Legal Meaning
On this page, you'll find the legal definition and meaning of Condition Subsequent, written in plain English, along with examples of how it is used.
What is Condition Subsequent?
An event or occurrence of a specified thing that will lead to an end of something.This event can be said to a concluding in nature and it completes the event.Example-if a seller sells his property to a buyer, after the buyer has fullfilled all the necessary conditions specified in the contract, the seller’s right over the property comes to an end.
History and Meaning of Condition Subsequent
Condition Subsequent is a term commonly used in legal contracts and agreements. It refers to an event or circumstance that, upon occurring, will end or modify the terms of a previously agreed-upon contract or agreement. This term has been used in legal contexts for many years and is often included in contracts of all kinds to provide a reliable guide for the parties involved about when the contract is terminated or altered.
Examples of Condition Subsequent
- In a lease agreement, a landlord might include a condition subsequent that if the tenant repeatedly breaks certain rules, such as being noisy or causing damage to the property, the lease can be terminated.
- In an employment contract, an employer might include a condition subsequent that if the employee fails a drug test, their employment can be terminated.
- In a sales contract, there might be a condition subsequent that if the payment is not made by the purchaser within a specified time period, the seller can terminate the contract and keep the goods.
Legal Terms Similar to Condition Subsequent
Other legal terms that are similar to Condition Subsequent include:
- Condition Precedent: This is the opposite of Condition Subsequent – it refers to a certain event that must occur before a contract is considered valid.
- Liquidated Damages: This is a clause in a contract that outlines the monetary compensation that one party will receive if the other party fails to meet their obligations under the contract.
- Termination Clause: This is a clause in a contract that outlines the circumstances under which the contract may be terminated by one or both parties.