Which of the following is NOT an example of a condition precedent?
A)A contract for the sale of a block of land which is subject to the purchaser obtaining development consent from the local council.
B)A contract for the sale of a house which is subject to a right to terminate if the vendors are unable to purchase another property by the settlement date.
C)A contract for the sale of a house which is subject to the vendors completing the purchase of another property.
D)A contract for the sale of land which is subject to the vendor obtaining development consent from the local council.

Question

Quizplus · Accepted Answer

A condition precedent is a condition that must be met before a contract becomes binding or before a party is obligated to perform. In option B, the condition (the vendors' ability to purchase another property) does not need to be met before the contract becomes binding or before a party is obligated to perform; instead, it provides a right to terminate the contract under certain circumstances, making it not a condition precedent but a condition subsequent or a termination condition.

Which of the Following Is NOT an Example of a Condition