Condition Precedent definition: Copy, customize, and use instantly
Introduction
The term "Condition Precedent" refers to an event or condition that must occur before a party is obligated to perform certain duties or before a contract becomes enforceable. It is critical in defining the timing of contractual obligations and ensuring that both parties understand the conditions that must be met for the agreement to proceed.
Below are various examples of how "Condition Precedent" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Condition Precedent" in contract execution
This definition ties "Condition Precedent" to contract finalization.
"Condition Precedent" means any event, action, or approval that must occur before a contract becomes legally binding or enforceable.
Definition of "Condition Precedent" in loan disbursement
This definition connects "Condition Precedent" to lending agreements.
"Condition Precedent" refers to any requirement that must be satisfied before the lender is obligated to disburse funds to the borrower.
Definition of "Condition Precedent" in real estate transactions
This definition links "Condition Precedent" to property sales and transfers.
"Condition Precedent" means any obligation, such as obtaining regulatory approvals or securing financing, that must be fulfilled before closing a real estate transaction.
Definition of "Condition Precedent" in insurance policies
This definition applies "Condition Precedent" to coverage activation.
"Condition Precedent" refers to any action or documentation, such as premium payment or risk assessment, that must be completed before an insurance policy takes effect.
Definition of "Condition Precedent" in mergers and acquisitions
This definition ties "Condition Precedent" to corporate transactions.
"Condition Precedent" means any regulatory approval, shareholder consent, or financial condition that must be satisfied before an acquisition or merger is finalized.
Definition of "Condition Precedent" in employment contracts
This definition connects "Condition Precedent" to hiring and onboarding.
"Condition Precedent" refers to any pre-employment requirement, such as passing a background check or obtaining a work permit, that must be fulfilled before an employment agreement becomes effective.
Definition of "Condition Precedent" in performance-based contracts
This definition links "Condition Precedent" to service agreements.
"Condition Precedent" means any milestone, verification, or approval that must be achieved before a party is obligated to perform under the contract.
Definition of "Condition Precedent" in franchising agreements
This definition applies "Condition Precedent" to franchise relationships.
"Condition Precedent" refers to any prerequisite, such as completing training programs or securing a location, that must be met before a franchisee is granted operational rights.
Definition of "Condition Precedent" in construction contracts
This definition ties "Condition Precedent" to project commencement.
"Condition Precedent" means any necessary approvals, funding arrangements, or environmental clearances that must be secured before construction begins.
Definition of "Condition Precedent" in litigation settlements
This definition connects "Condition Precedent" to dispute resolution.
"Condition Precedent" refers to any required action, such as court approval or execution of releases, that must occur before a settlement agreement takes effect.
Definition of "Condition Precedent" in debt restructuring
This definition links "Condition Precedent" to financial reorganizations.
"Condition Precedent" means any covenant, consent, or legal requirement that must be satisfied before debt restructuring terms become effective.
Definition of "Condition Precedent" in stock purchase agreements
This definition applies "Condition Precedent" to equity transactions.
"Condition Precedent" refers to any due diligence, regulatory clearance, or financial commitment that must be completed before the sale of shares is finalized.
Definition of "Condition Precedent" in supply chain agreements
This definition ties "Condition Precedent" to procurement contracts.
"Condition Precedent" means any prerequisite, such as product testing, licensing, or safety certification, that must be met before a supplier can begin fulfilling orders.
Definition of "Condition Precedent" in escrow agreements
This definition connects "Condition Precedent" to third-party fund holding.
"Condition Precedent" refers to any predefined event, such as contract completion or dispute resolution, that must occur before escrowed funds are released.
Definition of "Condition Precedent" in intellectual property licensing
This definition links "Condition Precedent" to IP rights transfers.
"Condition Precedent" means any condition, such as patent registration or government approval, that must be fulfilled before intellectual property rights are granted.
Definition of "Condition Precedent" in venture capital investments
This definition applies "Condition Precedent" to funding rounds.
"Condition Precedent" refers to any requirement, such as achieving revenue targets or securing key partnerships, that must be met before venture capital funding is provided.
Definition of "Condition Precedent" in pension fund distributions
This definition ties "Condition Precedent" to retirement plan payouts.
"Condition Precedent" means any eligibility requirement, such as reaching a certain age or completing a minimum period of service, that must be satisfied before pension benefits are paid.
Definition of "Condition Precedent" in gaming and gambling licenses
This definition connects "Condition Precedent" to regulatory approvals.
"Condition Precedent" refers to any legal, financial, or operational requirement that must be met before a gaming license is issued or remains in force.
Definition of "Condition Precedent" in collective bargaining agreements
This definition links "Condition Precedent" to labor negotiations.
"Condition Precedent" means any action, such as union ratification or government approval, that must occur before a labor agreement becomes effective.
Definition of "Condition Precedent" in maritime contracts
This definition applies "Condition Precedent" to shipping agreements.
"Condition Precedent" refers to any certification, inspection, or regulatory approval that must be secured before a vessel can commence operations under a charter agreement.
Definition of "Condition Precedent" in financial guarantees
This definition ties "Condition Precedent" to credit and security instruments.
"Condition Precedent" means any stipulated requirement, such as obtaining a guarantor’s approval or securing collateral, that must be satisfied before a financial guarantee takes effect.
Definition of "Condition Precedent" in government contracts
This definition connects "Condition Precedent" to public sector agreements.
"Condition Precedent" refers to any compliance obligation, funding authorization, or regulatory approval that must be fulfilled before a government contract is executed.
Definition of "Condition Precedent" in corporate governance
This definition links "Condition Precedent" to board and shareholder approvals.
"Condition Precedent" means any governance requirement, such as board resolutions or shareholder voting, that must be met before a corporate action is implemented.
Definition of "Condition Precedent" in energy supply agreements
This definition applies "Condition Precedent" to utility contracts.
"Condition Precedent" refers to any infrastructure readiness, regulatory compliance, or contractual milestone that must be achieved before energy supply obligations commence.
Definition of "Condition Precedent" in aviation leasing agreements
This definition ties "Condition Precedent" to aircraft transactions.
"Condition Precedent" means any certification, maintenance requirement, or regulatory clearance that must be met before an aircraft lease takes effect.
Definition of "Condition Precedent" in pharmaceutical licensing
This definition connects "Condition Precedent" to drug approvals.
"Condition Precedent" refers to any regulatory approval, clinical trial completion, or patent validation that must be achieved before a pharmaceutical license is granted.
Definition of "Condition Precedent" in tax incentive agreements
This definition links "Condition Precedent" to financial incentives.
"Condition Precedent" means any investment threshold, employment commitment, or operational milestone that must be satisfied before a tax incentive is granted.
Definition of "Condition Precedent" in bankruptcy proceedings
This definition applies "Condition Precedent" to insolvency cases.
"Condition Precedent" refers to any court approval, creditor consent, or asset valuation that must occur before a bankruptcy plan is implemented.
Definition of "Condition Precedent" in international trade agreements
This definition ties "Condition Precedent" to cross-border contracts.
"Condition Precedent" means any tariff reduction, compliance certification, or diplomatic approval that must be fulfilled before an international trade agreement is enforced.
Definition of "Condition Precedent" in digital service contracts
This definition connects "Condition Precedent" to online service agreements.
"Condition Precedent" refers to any system integration, security audit, or compliance review that must be completed before a digital service is launched.
Definition of "Condition Precedent" in broadcasting rights agreements
This definition links "Condition Precedent" to media and entertainment contracts.
"Condition Precedent" means any regulatory licensing, sponsorship arrangement, or content approval that must be met before broadcasting rights become effective.
Definition of "Condition Precedent" in investment fund agreements
This definition applies "Condition Precedent" to capital commitments.
"Condition Precedent" refers to any investor accreditation, fund formation, or compliance certification that must be completed before fund contributions are accepted.
Definition of "Condition Precedent" in transportation infrastructure projects
This definition ties "Condition Precedent" to public-private partnerships.
"Condition Precedent" means any government permit, environmental clearance, or financing arrangement that must be secured before construction begins on transportation infrastructure.
Definition of "Condition Precedent" in non-compete agreements
This definition connects "Condition Precedent" to employment restrictions.
"Condition Precedent" refers to any severance payment, contractual obligation, or compliance confirmation that must occur before a non-compete clause is enforceable.
Definition of "Condition Precedent" in technology transfer agreements
This definition links "Condition Precedent" to intellectual property sharing.
"Condition Precedent" means any regulatory approval, patent verification, or licensing arrangement that must be completed before technology rights are transferred.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.