Jana finds a home priced at $180,000 that she would like to buy. She is
concerned, however, about her ability to get a loan. Accordingly, she and
the seller reach agreement that Jana will buy the home if she can get a loan
for $180,000 within 45 days. What type of condition is this agreement?
a. An express condition.
b. A concurrent condition.
c. A condition precedent.
d. a and c.
e. a, b, and c.
To identify the type of condition in the given agreement, we need to understand the different types of conditions.
1. Express condition: An express condition is a specific requirement stated explicitly in the agreement that must be met for the contract to be fulfilled. It establishes a clear condition that needs to be satisfied.
2. Concurrent condition: A concurrent condition refers to a situation where both parties must fulfill their obligations simultaneously for the contract to be fulfilled. It means that the condition must be met at the same time by both parties.
3. Condition precedent: A condition precedent is a condition that needs to be satisfied before the contractual obligations arise. It means that a specific event or condition must occur before a party becomes legally obligated to perform their duties under the contract.
In the given agreement, Jana and the seller reached an agreement that Jana will buy the home if she can get a loan for $180,000 within 45 days. This indicates that Jana getting the loan is a requirement for the agreement to be fulfilled. Therefore, the condition in this agreement is a condition precedent (c) because Jana needs to obtain the loan before being obligated to purchase the home.
So, the answer is:
c. A condition precedent.