What is a contingent contract?

A contingent contract is a legally binding agreement between two parties in which at least one of the parties is required to fulfill certain conditions before they are held accountable for the agreement. In Hawaii, a contingent contract is often used when certain conditions need to be met before an obligation is due. For example, a contingent contract could be used when one party is willing to purchase something only if the seller is able to meet certain criteria. The conditions of a contingent contract can be either positive or negative. Positive conditions specify something that must happen before the obligation is due, such as a certain amount of money being paid or the completion of a task. Negative conditions, on the other hand, specify something that must not happen for the agreement to be valid. For a contingent contract to be enforceable in Hawaii, the conditions must be specific and measurable. Both parties must understand what the conditions are and what will happen if they are not met. If the conditions are not met, then the contract is void and the parties will not be held responsible. In conclusion, a contingent contract is a legally binding agreement between two parties in which one of the parties is required to meet certain conditions before they are held accountable for the agreement. This type of contract is often used in Hawaii when certain conditions need to be met before an obligation is due.

Related FAQs

What is the common law?
What is an anticipatory breach of contract?
What is the implied covenant of quiet enjoyment?
What is the doctrine of privity?
What is a condition precedent?
What is a contract of indemnity?
What is the effect of illegality in a contract?
What is a conforming acceptance?
What is controverting the evidence?
What is a contract of service?

What is a contingent contract?

Related FAQs

Related Blog Posts