Contingent Obligation definition: Copy, customize, and use instantly
Introduction
The term "Contingent Obligation" refers to a potential obligation that may arise depending on the occurrence of a future event. It is commonly used in contracts to address liabilities, guarantees, or other responsibilities that are conditional upon certain circumstances.
Below are examples of how "Contingent Obligation" can be defined in various contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Contingent Obligation" in financial guarantees
This definition ties "Contingent Obligation" to a guarantee of payment.
"Contingent Obligation" means any obligation, direct or indirect, that may become due if a specified event occurs, such as the default of a borrower or other specified conditions.
Definition of "Contingent Obligation" in insurance contracts
This definition connects "Contingent Obligation" to policy liabilities.
"Contingent Obligation" refers to a potential liability of the insurer that becomes payable only if a covered event occurs under the terms of the policy.
Definition of "Contingent Obligation" in indemnity clauses
This definition links "Contingent Obligation" to indemnification terms.
"Contingent Obligation" means an obligation to indemnify, defend, or hold harmless, arising only if certain events or claims are made.
Definition of "Contingent Obligation" in real estate transactions
This definition applies "Contingent Obligation" to property agreements.
"Contingent Obligation" refers to any obligation tied to the completion of a specific condition precedent, such as obtaining financing or clear title.
Definition of "Contingent Obligation" in joint ventures
This definition ties "Contingent Obligation" to shared liabilities.
"Contingent Obligation" means any potential liability arising from the failure of a joint venture partner to fulfill their contractual duties.
Definition of "Contingent Obligation" in corporate guarantees
This definition connects "Contingent Obligation" to parent company guarantees.
"Contingent Obligation" refers to a commitment by a company to cover the obligations of a subsidiary in the event of a default.
Definition of "Contingent Obligation" in loan agreements
This definition links "Contingent Obligation" to borrower responsibilities.
"Contingent Obligation" means any potential liability arising from guarantees, letters of credit, or other credit support arrangements.
Definition of "Contingent Obligation" in mergers and acquisitions
This definition applies "Contingent Obligation" to transaction liabilities.
"Contingent Obligation" refers to liabilities that depend on post-closing conditions, such as earnouts or contingent consideration.
Definition of "Contingent Obligation" in environmental compliance
This definition ties "Contingent Obligation" to regulatory responsibilities.
"Contingent Obligation" means any obligation that arises only if a specific environmental incident or violation occurs.
Definition of "Contingent Obligation" in performance bonds
This definition connects "Contingent Obligation" to surety guarantees.
"Contingent Obligation" refers to the liability of a surety to pay or perform under a bond in the event of a principal’s default.
Definition of "Contingent Obligation" in deferred compensation
This definition ties "Contingent Obligation" to employee payments.
"Contingent Obligation" means any potential payment obligation to an employee or contractor, arising only upon the occurrence of specified performance goals or events.
Definition of "Contingent Obligation" in intellectual property licensing
This definition connects "Contingent Obligation" to royalty payments.
"Contingent Obligation" refers to royalty payments or other compensation due only if certain milestones, such as product sales or market launches, are achieved.
Definition of "Contingent Obligation" in supply chain agreements
This definition links "Contingent Obligation" to procurement guarantees.
"Contingent Obligation" means any liability to pay or perform obligations arising only if delivery, quality, or other contractual conditions are not met.
Definition of "Contingent Obligation" in litigation settlements
This definition applies "Contingent Obligation" to legal claims.
"Contingent Obligation" refers to any potential payment or performance obligation triggered by a court ruling, settlement, or arbitration decision.
Definition of "Contingent Obligation" in employee benefit plans
This definition ties "Contingent Obligation" to benefit funding.
"Contingent Obligation" means any liability to fund benefits under a plan that becomes due only upon an employee's retirement, termination, or other qualifying event.
Definition of "Contingent Obligation" in tax indemnities
This definition connects "Contingent Obligation" to tax liabilities.
"Contingent Obligation" refers to any potential obligation to indemnify another party for taxes that may arise from audits, adjustments, or reassessments.
Definition of "Contingent Obligation" in credit derivatives
This definition links "Contingent Obligation" to financial instruments.
"Contingent Obligation" means any liability arising under credit default swaps or similar instruments, contingent upon credit events such as defaults or bankruptcies.
Definition of "Contingent Obligation" in deferred purchase price agreements
This definition applies "Contingent Obligation" to payment schedules.
"Contingent Obligation" refers to any remaining purchase price owed, contingent upon the occurrence of specified conditions such as performance benchmarks.
Definition of "Contingent Obligation" in leasing agreements
This definition ties "Contingent Obligation" to tenant responsibilities.
"Contingent Obligation" means any liability of a tenant or landlord that arises only upon specified events, such as property damage or lease termination.
Definition of "Contingent Obligation" in cross-collateral arrangements
This definition connects "Contingent Obligation" to collateral enforcement.
"Contingent Obligation" refers to any liability to satisfy obligations secured by collateral that becomes enforceable only upon a triggering event.
Definition of "Contingent Obligation" in charitable contributions
This definition links "Contingent Obligation" to donation commitments.
"Contingent Obligation" means any commitment to make a charitable donation, subject to the satisfaction of specific conditions or milestones.
Definition of "Contingent Obligation" in renewable energy credits
This definition applies "Contingent Obligation" to environmental offsets.
"Contingent Obligation" refers to any liability to purchase or surrender renewable energy credits, contingent upon meeting energy production or usage targets.
Definition of "Contingent Obligation" in bankruptcy proceedings
This definition ties "Contingent Obligation" to creditor claims.
"Contingent Obligation" means any potential claim against a debtor, arising only upon the satisfaction of conditions outlined in the bankruptcy plan.
Definition of "Contingent Obligation" in software as a service (SaaS) agreements
This definition connects "Contingent Obligation" to uptime guarantees.
"Contingent Obligation" refers to any liability for service credits or refunds, triggered by the failure to meet agreed-upon service levels.
Definition of "Contingent Obligation" in joint liability agreements
This definition links "Contingent Obligation" to shared responsibilities.
"Contingent Obligation" means any obligation to pay or perform, arising only upon the failure of another party to fulfill its portion of a joint responsibility.
Definition of "Contingent Obligation" in event cancellation policies
This definition applies "Contingent Obligation" to refunds.
"Contingent Obligation" refers to the liability to provide refunds or credits, contingent upon the cancellation or rescheduling of an event.
Definition of "Contingent Obligation" in venture capital funding
This definition ties "Contingent Obligation" to investment milestones.
"Contingent Obligation" means any commitment to provide additional funding, conditional upon the startup achieving specified goals.
Definition of "Contingent Obligation" in public-private partnerships
This definition connects "Contingent Obligation" to government liabilities.
"Contingent Obligation" refers to any potential liability of a public entity to pay or perform, contingent upon the private partner failing to meet contractual obligations.
Definition of "Contingent Obligation" in regulatory compliance
This definition links "Contingent Obligation" to penalties.
"Contingent Obligation" means any liability to pay fines or penalties, arising only if specific regulatory violations occur.
Definition of "Contingent Obligation" in patent disputes
This definition applies "Contingent Obligation" to infringement damages.
"Contingent Obligation" refers to any liability to pay damages or royalties, contingent upon a determination of patent infringement.
Definition of "Contingent Obligation" in credit agreements
This definition ties "Contingent Obligation" to loan covenants.
"Contingent Obligation" means any liability arising from guarantees or support agreements, triggered by borrower default or covenant violations.
Definition of "Contingent Obligation" in labor union agreements
This definition connects "Contingent Obligation" to workforce liabilities.
"Contingent Obligation" refers to any potential obligation to pay or provide benefits, contingent upon disputes or strikes.
Definition of "Contingent Obligation" in mining leases
This definition links "Contingent Obligation" to royalties.
"Contingent Obligation" means any payment obligation tied to the extraction and sale of minerals, contingent upon production thresholds.
Definition of "Contingent Obligation" in intellectual property disputes
This definition applies "Contingent Obligation" to licensing settlements.
"Contingent Obligation" refers to any liability for payments or royalties, contingent upon a resolution of intellectual property disputes.
Definition of "Contingent Obligation" in international trade
This definition ties "Contingent Obligation" to export guarantees.
"Contingent Obligation" means any liability arising from trade guarantees or credit facilities, contingent upon default or non-payment.
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.