Question

Antonio owns property on which a gasoline station once stood. Josh agrees to buy the land so that he can build an office on it. They include language in the contract making the purchase contingent on a determination that there are no environmental problems with the property. The contingency represents?

Answer 1

The correct answer is Condition precedent

Explanation: Very common in companies' purchase and sale contracts, which perform various acts practiced after the signing (execution) of the contract for the operation to be definitively concluded at a later date (the closing or closing operation). These acts are no more than the suspended conditions of the transaction, the execution conditions that depend on the application of the legal business.