Which of the following is correct with regard to conditions subsequent?
A) Conditions subsequent are quite common in contracts.
B) A "sale or return" contract is an example of a contract with a condition subsequent.
C) A condition subsequent must occur before performance is due under a contract.
D) Conditions subsequent terminate a future, or subsequent, duty only.

Question

Quizplus · Accepted Answer

A "sale or return" contract is an example of a contract with a condition subsequent, as it allows the buyer to return the goods after the sale under certain conditions, which can terminate the buyer's obligation to pay.

Which of the Following Is Correct with Regard to Conditions