Hiram owns a piece of land that he wants to sell to Regina.She wants to buy it for the purpose of building a shopping mall.It is not yet clear,however,whether the municipal government will give planning approval for the proposed mall.Hiram and Regina consequently will probably immediately create a contract that is subject to a condition subsequent.

Question

Quizplus · Accepted Answer

A condition subsequent is a future event that terminates an existing contract. In this scenario, they would likely create a contract subject to a condition precedent, which is a future event that must occur before the contract becomes effective, such as obtaining planning approval.

Hiram Owns a Piece of Land That He Wants to Sell