Conditions precedent clause: Copy, customize, and use instantly
Introduction
A conditions precedent clause defines the specific events or actions that must occur before a party’s obligations under a contract take effect. These clauses provide clarity and ensure accountability by setting clear milestones that must be achieved to trigger performance.
Below are conditions precedent clause templates tailored for various scenarios. Copy the one you need, customize it, and add it to your contract.
Standard conditions precedent clause
This clause sets out general conditions that must be fulfilled before responsibilities are triggered.
This agreement, and the obligations set forth herein, will take effect only upon the satisfaction of the following conditions precedent: (i) execution and delivery of this agreement by all parties, and (ii) receipt of all required regulatory approvals.
Financial conditions precedent clause
This clause is used in agreements involving financing or payment obligations.
The obligations under this agreement are subject to the following conditions precedent: (i) the transfer of funds in the amount of [insert amount] to the designated account, and (ii) confirmation of such transfer by the receiving party.
Conditions precedent to delivery clause
This clause applies to agreements where delivery of goods or services depends on specific prerequisites.
The seller’s obligation to deliver the goods is subject to the following conditions precedent: (i) the buyer providing a valid purchase order, and (ii) payment of the initial deposit as specified in this agreement.
Regulatory conditions precedent clause
This clause is designed for contracts requiring government or regulatory approvals.
The obligations under this agreement will not take effect until the following conditions precedent are satisfied: (i) receipt of all necessary regulatory approvals from [insert authority], and (ii) compliance with any imposed conditions.
M&A-specific conditions precedent clause
This clause is used in mergers and acquisitions to outline pre-closing requirements.
The obligations under this agreement are subject to the following conditions precedent: (i) satisfactory completion of due diligence, (ii) receipt of shareholder approval from both parties, and (iii) execution of all ancillary documents required for closing.
Conditions precedent for project commencement clause
This clause is applicable in agreements for project-based work.
The contractor’s obligations to commence work are subject to the following conditions precedent: (i) approval of the project plan by the client, (ii) provision of access to the project site, and (iii) payment of the mobilization fee.
Cross-border conditions precedent clause
This clause addresses international agreements where specific actions are needed to comply with foreign requirements.
The obligations under this agreement will not take effect until the following conditions precedent are fulfilled: (i) compliance with customs clearance procedures, and (ii) receipt of import/export licenses from the relevant authorities.
Conditions precedent to employment clause
This clause applies to employment agreements with specific pre-employment requirements.
The obligations under this agreement are subject to the following conditions precedent: (i) successful completion of a background check, (ii) verification of the employee’s qualifications, and (iii) signing of all required company policies and agreements.
Conditions precedent for service agreements clause
This clause outlines requirements for service providers before they begin their obligations.
The service provider’s obligations under this agreement are subject to the following conditions precedent: (i) receipt of the signed agreement from the client, (ii) provision of required information and access by the client, and (iii) payment of the initial service fee.
Tax-specific conditions precedent clause
This clause is tailored for contracts requiring tax compliance or documentation before obligations take effect.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of tax clearance certificates from the relevant authorities, and (ii) provision of completed tax residency declarations by both parties.
Conditions precedent for intellectual property transfer clause
This clause applies to agreements involving the transfer of intellectual property rights.
The transfer of intellectual property rights under this agreement will only take effect upon the satisfaction of the following conditions precedent: (i) full payment of the purchase price, and (ii) execution of all necessary assignment documents by the transferring party.
Force majeure conditions precedent clause
This clause addresses unforeseen circumstances that might impact the contract's activation.
The obligations under this agreement are subject to the following conditions precedent: (i) confirmation that no force majeure event has occurred, and (ii) verification that the parties can perform their respective obligations under normal conditions.
Conditions precedent for joint ventures clause
This clause defines prerequisites for the commencement of joint venture operations.
The obligations under this agreement will take effect only upon the satisfaction of the following conditions precedent: (i) incorporation of the joint venture entity, (ii) receipt of all necessary regulatory and shareholder approvals, and (iii) execution of the joint venture operating agreement.
Real estate-specific conditions precedent clause
This clause is tailored for real estate agreements where certain steps must be completed before obligations are triggered.
The obligations under this agreement are subject to the following conditions precedent: (i) completion of the title search and verification of ownership, (ii) receipt of all required zoning and building permits, and (iii) payment of the agreed deposit amount.
Conditions precedent for supply chain agreements clause
This clause is designed for contracts where the delivery of goods is contingent on meeting specific prerequisites.
The supplier’s obligations to deliver goods under this agreement are subject to the following conditions precedent: (i) confirmation of production capacity by the supplier, (ii) issuance of a valid purchase order by the buyer, and (iii) receipt of any necessary import/export approvals.
Environmental compliance conditions precedent clause
This clause applies to contracts requiring adherence to environmental regulations before performance.
The obligations under this agreement will not take effect until the following conditions precedent are fulfilled: (i) submission of an environmental impact assessment report, and (ii) receipt of all necessary environmental compliance certificates from relevant authorities.
Technology implementation conditions precedent clause
This clause is relevant for agreements involving the implementation of technological solutions.
The obligations of the service provider under this agreement are subject to the following conditions precedent: (i) delivery of the agreed technology infrastructure by the client, (ii) provision of required access credentials, and (iii) confirmation of readiness for implementation.
Dispute resolution conditions precedent clause
This clause adds a layer of protection by requiring dispute resolution mechanisms before the agreement activates.
The obligations under this agreement are subject to the following conditions precedent: (i) execution of a dispute resolution agreement by both parties, and (ii) appointment of an arbitrator or mediator, where applicable.
Conditions precedent for funding agreements clause
This clause outlines the steps necessary before financial commitments can be made.
The obligations to disburse funds under this agreement will only take effect upon the satisfaction of the following conditions precedent: (i) submission of a valid funding proposal, (ii) provision of collateral or guarantees as required, and (iii) execution of a funding agreement by both parties.
Conditions precedent for employment contracts clause
This clause applies to employment agreements where specific requirements must be satisfied before the employee starts work.
The obligations under this agreement are subject to the following conditions precedent: (i) successful completion of the background check and reference verification, (ii) provision of signed confidentiality and non-compete agreements, and (iii) completion of required onboarding documentation.
Merger and acquisition conditions precedent clause
This clause is tailored for M&A agreements where regulatory and approval steps must be met before the transaction closes.
The obligations of the parties under this agreement are contingent upon the following conditions precedent: (i) receipt of all regulatory approvals, (ii) shareholder consent from both parties, and (iii) execution of all required transaction documents.
Licensing conditions precedent clause
This clause ensures that licensing rights are granted only after specific conditions are satisfied.
The grant of the license under this agreement is subject to the following conditions precedent: (i) payment of the initial licensing fee, (ii) submission of proof of compliance with licensing requirements, and (iii) execution of the licensing agreement by all parties.
Financing conditions precedent clause
This clause is used in agreements contingent on securing financing.
The obligations under this agreement are subject to the following conditions precedent: (i) confirmation of financing approval from the lender, (ii) execution of loan documentation, and (iii) provision of security or collateral as required by the lender.
Conditions precedent for franchising agreements clause
This clause is tailored for franchise agreements where specific steps must be completed before operations begin.
The obligations of the franchisor under this agreement are subject to the following conditions precedent: (i) execution of the franchise disclosure document by the franchisee, (ii) payment of the initial franchise fee, and (iii) completion of the franchisor’s mandatory training program by the franchisee.
Settlement conditions precedent clause
This clause applies to agreements where the settlement of disputes is contingent on certain prerequisites.
The obligations to settle under this agreement will only take effect upon the satisfaction of the following conditions precedent: (i) withdrawal of all pending claims or lawsuits related to this agreement, (ii) execution of a formal settlement agreement by both parties, and (iii) payment of the agreed settlement amount.
Product launch conditions precedent clause
This clause applies to contracts involving the release of new products.
The obligations under this agreement are subject to the following conditions precedent: (i) completion of product testing and quality assurance, (ii) delivery of marketing and promotional materials to the distributor, and (iii) receipt of regulatory approval for the product launch.
Conditions precedent for partnership agreements clause
This clause outlines the requirements for partnerships to commence.
The obligations of the parties under this agreement are contingent upon the following conditions precedent: (i) execution of a formal partnership agreement, (ii) establishment of a joint bank account for partnership funds, and (iii) contribution of agreed capital or resources by each party.
Supply and logistics conditions precedent clause
This clause ensures that logistics and supply arrangements are in place before performance begins.
The obligations under this agreement are subject to the following conditions precedent: (i) execution of a logistics and supply chain agreement, (ii) confirmation of delivery schedules by the supplier, and (iii) approval of packaging and labeling specifications by the buyer.
Healthcare-specific conditions precedent clause
This clause is tailored for contracts in the healthcare industry, where regulatory compliance is critical.
The obligations under this agreement will not take effect until the following conditions precedent are fulfilled: (i) receipt of all necessary healthcare licenses and permits, (ii) completion of background checks for key personnel, and (iii) verification of compliance with applicable healthcare regulations.
Media and publishing conditions precedent clause
This clause applies to agreements involving publishing or media rights.
The obligations under this agreement are contingent upon the following conditions precedent: (i) delivery of the manuscript or media content in the agreed format, (ii) execution of copyright assignments where applicable, and (iii) approval of content by the publishing party.
Research and development conditions precedent clause
This clause is used in R&D agreements where specific preparatory steps must be taken.
The obligations under this agreement will only take effect upon satisfaction of the following conditions precedent: (i) allocation of required funding by both parties, (ii) submission of the project plan and timeline for approval, and (iii) establishment of an oversight committee for the research activities.
Real estate purchase conditions precedent clause
This clause is used in real estate agreements to ensure that specific prerequisites are met before closing.
The obligations under this agreement are subject to the following conditions precedent: (i) completion of a satisfactory property inspection report, (ii) approval of financing by the buyer’s lender, and (iii) receipt of clear title confirmation by the seller.
Event planning conditions precedent clause
This clause applies to agreements for events where obligations depend on preparatory steps.
The obligations of the parties under this agreement are contingent upon the following conditions precedent: (i) confirmation of venue availability, (ii) execution of vendor contracts for catering and services, and (iii) approval of the event schedule by the client.
Software development conditions precedent clause
This clause applies to agreements where software development or delivery depends on preparatory conditions.
The obligations under this agreement are subject to the following conditions precedent: (i) delivery of project specifications and requirements by the client, (ii) receipt of the initial development fee, and (iii) allocation of technical resources by the developer.
Construction project conditions precedent clause
This clause is tailored for construction agreements where specific approvals or steps must be completed before work begins.
The obligations under this agreement will not commence until the following conditions precedent are met: (i) receipt of all required construction permits, (ii) execution of subcontractor agreements, and (iii) delivery of approved project blueprints by the client.
E-commerce partnership conditions precedent clause
This clause is for online retail partnerships, ensuring technical and operational readiness.
The obligations under this agreement are contingent upon the following conditions precedent: (i) integration of payment gateways with the partner platform, (ii) confirmation of product inventory levels, and (iii) execution of marketing plans for the launch.
Energy supply conditions precedent clause
This clause is used in energy or utility contracts where obligations are tied to preparatory actions.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of regulatory approvals for energy transmission, (ii) execution of agreements with local utility providers, and (iii) confirmation of infrastructure readiness by both parties.
Nonprofit grant conditions precedent clause
This clause applies to agreements involving grants or donations, contingent on certain compliance steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) submission of financial reports and budgets by the nonprofit organization, (ii) approval of the proposed project by the granting entity, and (iii) receipt of matching funds or commitments from additional donors.
Supply chain management conditions precedent clause
This clause ensures obligations in supply chain agreements depend on specific preconditions.
The obligations under this agreement are subject to the following conditions precedent: (i) finalization of logistics schedules by both parties, (ii) confirmation of supplier certifications, and (iii) establishment of a centralized tracking system for shipments.
Financial advisory conditions precedent clause
This clause applies to contracts involving advisory services that require initial deliverables.
The obligations under this agreement will only take effect upon satisfaction of the following conditions precedent: (i) delivery of financial data and reports by the client, (ii) execution of a confidentiality agreement, and (iii) payment of the initial advisory retainer.
Agricultural supply conditions precedent clause
This clause is tailored for agricultural agreements where obligations depend on specific preparatory steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) confirmation of crop readiness by the supplier, (ii) execution of agreements with transportation providers, and (iii) inspection and certification of produce quality.
Telecommunications conditions precedent clause
This clause is for agreements in the telecommunications sector where infrastructure must be in place.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of spectrum licenses by the provider, (ii) installation of required network infrastructure, and (iii) execution of service agreements with end users.
Joint venture conditions precedent clause
This clause ensures joint ventures begin only after necessary steps are completed.
The obligations of the parties under this agreement are contingent upon the following conditions precedent: (i) establishment of the joint venture entity, (ii) contribution of initial capital as agreed, and (iii) execution of operational agreements by both parties.
Insurance policy conditions precedent clause
This clause applies to agreements contingent on securing insurance coverage.
The obligations under this agreement are subject to the following conditions precedent: (i) issuance of an insurance policy covering all identified risks, (ii) payment of initial premiums by the insured party, and (iii) confirmation of coverage terms by the insurer.
Healthcare services conditions precedent clause
This clause applies to agreements in the healthcare industry, ensuring regulatory and operational readiness.
The obligations under this agreement are contingent upon the following conditions precedent: (i) verification of healthcare provider licenses, (ii) execution of service-level agreements with medical facilities, and (iii) approval of compliance reports by regulatory authorities.
Manufacturing agreement conditions precedent clause
This clause ensures manufacturing starts only after initial conditions are satisfied.
The obligations under this agreement are subject to the following conditions precedent: (i) delivery of design specifications by the client, (ii) receipt of initial raw materials by the manufacturer, and (iii) approval of the production schedule by both parties.
International trade conditions precedent clause
This clause is tailored for cross-border agreements requiring compliance steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of import/export permits from relevant authorities, (ii) execution of customs clearance agreements, and (iii) confirmation of international shipping arrangements.
Employee benefits conditions precedent clause
This clause applies to agreements involving benefits packages that depend on preparatory steps.
The obligations under this agreement will only take effect upon satisfaction of the following conditions precedent: (i) enrollment of employees in the benefits program, (ii) receipt of contributions from participating employees, and (iii) approval of plan details by the benefits administrator.
Renewable energy project conditions precedent clause
This clause applies to agreements for renewable energy projects, contingent on compliance and approvals.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of environmental impact assessments, (ii) approval of construction permits for renewable energy facilities, and (iii) execution of power purchase agreements with buyers.
Media production conditions precedent clause
This clause is tailored for agreements involving media or content production, ensuring preparatory actions are completed.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of a detailed production schedule from the client, (ii) approval of the creative concept by both parties, and (iii) execution of subcontractor agreements for filming or editing.
Pharmaceutical supply conditions precedent clause
This clause applies to agreements for pharmaceutical products, contingent on regulatory and logistical steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of regulatory approval for the pharmaceutical product, (ii) execution of agreements with third-party distributors, and (iii) confirmation of cold chain logistics by the supplier.
Research and development conditions precedent clause
This clause ensures obligations in R&D agreements are triggered only after initial steps are taken.
The obligations under this agreement are subject to the following conditions precedent: (i) delivery of initial research funding by the client, (ii) approval of project milestones by both parties, and (iii) execution of non-disclosure agreements with project personnel.
Transportation services conditions precedent clause
This clause applies to agreements involving logistics or transportation services.
The obligations under this agreement are contingent upon the following conditions precedent: (i) delivery of vehicle specifications by the client, (ii) execution of fuel supply agreements by the transporter, and (iii) approval of the transportation schedule by both parties.
Technology licensing conditions precedent clause
This clause ensures licensing agreements begin only after essential conditions are met.
The obligations under this agreement are subject to the following conditions precedent: (i) delivery of source code documentation by the licensor, (ii) payment of the initial licensing fee by the licensee, and (iii) approval of usage terms by both parties.
Event sponsorship conditions precedent clause
This clause is for sponsorship agreements that depend on specific actions being completed.
The obligations under this agreement are contingent upon the following conditions precedent: (i) confirmation of event dates and venues by the organizer, (ii) execution of marketing agreements by the sponsor, and (iii) approval of sponsorship materials by both parties.
Retail franchise conditions precedent clause
This clause applies to franchise agreements, ensuring compliance and operational readiness.
The obligations under this agreement will not commence until the following conditions precedent are satisfied: (i) receipt of regulatory approvals for franchise operation, (ii) completion of training programs for franchise staff, and (iii) execution of agreements for supply chain logistics.
Cloud services conditions precedent clause
This clause is used for cloud-based service agreements that require technical preparations.
The obligations under this agreement are subject to the following conditions precedent: (i) confirmation of server availability by the provider, (ii) execution of data security protocols by both parties, and (iii) receipt of initial service fees by the provider.
Intellectual property transfer conditions precedent clause
This clause applies to agreements transferring intellectual property rights, ensuring due diligence steps are completed.
The obligations under this agreement are contingent upon the following conditions precedent: (i) delivery of documentation proving IP ownership by the transferor, (ii) approval of transfer terms by the transferee, and (iii) execution of confidentiality agreements related to the transferred IP.
Investment funding conditions precedent clause
This clause is for funding agreements that require compliance and preparatory steps before disbursement.
The obligations under this agreement are subject to the following conditions precedent: (i) delivery of audited financial statements by the recipient, (ii) approval of investment terms by both parties, and (iii) execution of agreements with co-investors, if applicable.
Subcontractor conditions precedent clause
This clause applies to agreements involving subcontractors where obligations depend on their readiness.
The obligations under this agreement are contingent upon the following conditions precedent: (i) execution of agreements with subcontractors by the primary contractor, (ii) approval of subcontractor qualifications by the client, and (iii) confirmation of subcontractor schedules by all parties.
Data privacy conditions precedent clause
This clause applies to agreements involving data privacy, ensuring compliance with regulatory requirements.
The obligations under this agreement will not commence until the following conditions precedent are satisfied: (i) execution of data processing agreements by both parties, (ii) approval of data protection impact assessments, and (iii) confirmation of compliance with applicable privacy laws.
Facility rental conditions precedent clause
This clause ensures obligations in facility rental agreements are contingent on preparatory steps.
The obligations under this agreement are subject to the following conditions precedent: (i) completion of a facility inspection by the lessee, (ii) execution of agreements for utility services, and (iii) payment of the initial deposit by the lessee.
Academic research conditions precedent clause
This clause applies to agreements for academic research projects that depend on compliance steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) approval of research protocols by an ethics review board, (ii) execution of agreements with funding agencies, and (iii) confirmation of access to required research facilities and resources.
Cross-border trade conditions precedent clause
This clause applies to cross-border trade agreements requiring regulatory and logistical compliance.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of import/export permits, (ii) execution of customs clearance agreements, and (iii) confirmation of international shipping arrangements by both parties.
Renewable energy installation conditions precedent clause
This clause ensures obligations in renewable energy projects are triggered only after preparatory steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of building permits for the installation of renewable energy equipment, (ii) execution of power purchase agreements, and (iii) confirmation of compliance with local environmental regulations.
Construction project conditions precedent clause
This clause ensures obligations in construction contracts begin only after necessary approvals and steps.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of building permits and zoning approvals, (ii) execution of agreements with subcontractors and material suppliers, and (iii) confirmation of insurance coverage for the project.
Healthcare service conditions precedent clause
This clause applies to agreements for healthcare services requiring regulatory and operational readiness.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of applicable licenses and certifications, (ii) approval of service protocols by regulatory authorities, and (iii) confirmation of facility readiness for service delivery.
Joint venture conditions precedent clause
This clause applies to joint venture agreements requiring initial compliance and coordination steps.
The obligations under this agreement are subject to the following conditions precedent: (i) execution of the joint venture agreement by all parties, (ii) contribution of initial capital or assets by the participants, and (iii) receipt of regulatory approvals for joint venture operations.
Manufacturing supply conditions precedent clause
This clause ensures manufacturing agreements are contingent upon preparatory steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) confirmation of production capacity by the manufacturer, (ii) approval of product specifications by the buyer, and (iii) execution of supply chain agreements for raw materials.
Agricultural product supply conditions precedent clause
This clause applies to agreements involving agricultural products, ensuring obligations are tied to compliance and readiness.
The obligations under this agreement are subject to the following conditions precedent: (i) confirmation of crop yield estimates by the supplier, (ii) approval of delivery schedules by the buyer, and (iii) execution of agreements for transport and storage.
Software integration conditions precedent clause
This clause is tailored for software integration agreements requiring technical preparation.
The obligations under this agreement will not commence until the following conditions precedent are satisfied: (i) completion of system compatibility testing, (ii) approval of implementation timelines by both parties, and (iii) confirmation of data migration readiness by the client.
Environmental compliance conditions precedent clause
This clause ensures compliance with environmental laws before obligations begin.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of environmental impact assessments and approvals, (ii) execution of agreements with waste management providers, and (iii) confirmation of compliance with all applicable environmental regulations.
Educational partnership conditions precedent clause
This clause applies to educational agreements requiring readiness steps.
The obligations under this agreement are subject to the following conditions precedent: (i) execution of agreements with accreditation bodies, (ii) approval of program curricula by all parties, and (iii) confirmation of funding or sponsorship agreements.
E-commerce platform conditions precedent clause
This clause is designed for agreements involving e-commerce platforms.
The obligations under this agreement will not commence until the following conditions precedent are met: (i) completion of platform testing and quality assurance, (ii) confirmation of payment gateway integration, and (iii) approval of the launch schedule by both parties.
Media collaboration conditions precedent clause
This clause applies to agreements for media collaborations requiring preparatory steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) execution of agreements with key talent and creative teams, (ii) approval of production schedules and budgets, and (iii) confirmation of distribution rights with third parties.
Logistics partnership conditions precedent clause
This clause ensures logistics agreements are contingent upon readiness.
The obligations under this agreement are subject to the following conditions precedent: (i) confirmation of warehouse availability by the logistics provider, (ii) approval of delivery routes by the client, and (iii) execution of agreements with transportation subcontractors.
Financial advisory conditions precedent clause
This clause applies to financial advisory agreements requiring initial compliance steps.
The obligations under this agreement are contingent upon the following conditions precedent: (i) receipt of regulatory approvals for advisory services, (ii) execution of non-disclosure agreements by the advisory team, and (iii) confirmation of initial fee payments by the client.
Real estate leasing conditions precedent clause
This clause applies to leasing agreements requiring preparatory steps.
The obligations under this agreement are subject to the following conditions precedent: (i) completion of property inspections by the lessee, (ii) execution of agreements for utility services, and (iii) confirmation of compliance with local leasing regulations.
Cryptocurrency transaction conditions precedent clause
This clause is tailored for cryptocurrency-related agreements requiring compliance.
The obligations under this agreement will not commence until the following conditions precedent are satisfied: (i) confirmation of wallet addresses and digital asset ownership, (ii) approval of transaction protocols by both parties, and (iii) execution of agreements with cryptocurrency exchanges.
Transportation equipment lease conditions precedent clause
This clause applies to agreements for leasing transportation equipment, ensuring readiness steps are met.
The obligations under this agreement are contingent upon the following conditions precedent: (i) completion of maintenance checks on the equipment, (ii) approval of insurance coverage by the lessee, and (iii) confirmation of compliance with applicable safety regulations.
Cross-border licensing conditions precedent clause
This clause is tailored for agreements involving cross-border intellectual property licensing.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of licensing approvals from relevant authorities, (ii) execution of agreements with local agents or representatives, and (iii) confirmation of payment terms for cross-border transactions.
Event management conditions precedent clause
This clause applies to agreements for event management requiring preparatory actions.
The obligations under this agreement are contingent upon the following conditions precedent: (i) execution of agreements with event vendors, (ii) confirmation of venue availability, and (iii) approval of the event plan by the client.
Hospitality service conditions precedent clause
This clause applies to agreements for hospitality services requiring operational readiness.
The obligations under this agreement will not commence until the following conditions precedent are satisfied: (i) approval of service protocols by both parties, (ii) confirmation of staff training completion, and (iii) execution of agreements with food and beverage suppliers.
Healthcare technology conditions precedent clause
This clause ensures obligations in healthcare technology agreements are contingent upon regulatory and operational compliance.
The obligations under this agreement are subject to the following conditions precedent: (i) receipt of regulatory approvals for technology deployment, (ii) execution of agreements with healthcare providers, and (iii) confirmation of system readiness by the vendor.
Condition precedent clause for funding approval:
This agreement shall be effective only upon the receipt of all necessary funding as approved by [Party A]'s financial officers. If the funding is not approved within [X] days of the execution of this agreement, the agreement shall automatically terminate without further action required by either party.
Condition precedent clause for regulatory approval:
The obligations of the parties under this agreement are subject to the receipt of all required regulatory approvals from [relevant authority]. If the necessary approvals are not obtained within [X] days from the date of execution, either party may terminate this agreement without liability.
Condition precedent clause for corporate board approval:
This agreement shall not be binding until it has been approved by the board of directors of [Party A]. If approval is not obtained within [X] days, this agreement shall be void and neither party shall have any further obligations under it.
Condition precedent clause for third-party consent:
The obligations of the parties under this agreement are contingent upon obtaining written consent from [Third-Party Name], which is required to fully perform this agreement. If such consent is not obtained within [X] days, either party may terminate this agreement without further liability.
Condition precedent clause for performance review:
The execution of this agreement is subject to a satisfactory performance review of [Party B]'s [product/services], which must be completed by [Party A] within [X] days. If the performance review is unsatisfactory, [Party A] has the right to terminate the agreement without penalty.
Condition precedent clause for financing:
This agreement is contingent upon securing financing from [source of financing], and shall be void if financing is not obtained by [specific date]. Upon failure to secure the necessary financing, neither party shall be liable to the other for any obligations under this agreement.
Condition precedent clause for delivery of required documents:
The effectiveness of this agreement is subject to the delivery of all required documents as specified in Exhibit A. If such documents are not delivered within [X] days of the execution of this agreement, the agreement will be considered null and void.
Condition precedent clause for inspection:
This agreement shall be effective only upon successful inspection and approval of the premises at [location] by [Party A]. If the inspection reveals material deficiencies and [Party B] does not rectify them within [X] days, [Party A] may terminate the agreement.
Condition precedent clause for exclusive negotiations:
This agreement is conditional upon the parties completing exclusive negotiations within [X] days of execution. If the parties fail to reach a binding agreement during this period, either party may terminate the agreement without penalty.
Condition precedent clause for insurance coverage:
The obligations under this agreement are subject to the provision of satisfactory proof of insurance coverage as outlined in Exhibit B. If the required insurance is not provided within [X] days, the agreement will automatically terminate.
Condition precedent clause for mutual due diligence:
This agreement is contingent upon the completion of due diligence by both parties, which must be finalized within [X] days. If either party determines during due diligence that the terms are not suitable, they may terminate the agreement without penalty.
Condition precedent clause for performance bond:
This agreement is subject to the delivery of a performance bond by [Party B], in the amount of [specified amount], which must be provided within [X] days. If the performance bond is not delivered as required, this agreement will be void.
Condition precedent clause for legal opinion:
This agreement shall be effective only upon receipt of a favorable legal opinion from [Party A]'s counsel, confirming that the agreement complies with applicable laws. If such legal opinion is not received within [X] days, the agreement will be automatically rescinded.
Condition precedent clause for shareholder approval:
This agreement is conditional upon the approval of the shareholders of [Party A]. If such approval is not obtained by [specific date], either party may terminate the agreement without incurring any liability.
Condition precedent clause for merger completion:
The parties’ obligations under this agreement are contingent upon the successful completion of the merger between [Company A] and [Company B]. If the merger is not completed by [date], this agreement shall be null and void.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.