Conditions

Question 1

Condition Definition

Answer 1

Definition
1. An act or event
2. The happening/non-happening of the act or event affects duty to perform

Question 2

Condition Precedent

Answer 2

• An act/event must occur before performance is due [no duty until…]

Question 3

Condition Subsequent

Answer 3

• An act/event which terminates the duty to perform [no duty after…]

Question 4

Condition Concurrent

Answer 4

• The parties must perform at the same time [simultaneous performance]

Question 5

Express Condition

Answer 5

• Explicitly set forth in the language of the contract
• Must be literally performed [strict compliance, not substantial performance]

Question 6

Implied or Constructive

Answer 6

• Not set forth in the language of the contract
• Imposed by law to achieve a fair result or justice
• Inferred from the terms, the nature of the contract, or the conduct of the parties
• Substantial performance is sufficient