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What is an example of a contingency?

What is an example of a contingency?

Contingency means something that could happen or come up depending on other occurrences. An example of a contingency is the unexpected need for a bandage on a hike. The definition of a contingency is something that depends on something else in order to happen.

What is contingency in simple words?

1 : a contingent event or condition: such as. a : an event (such as an emergency) that may but is not certain to occur trying to provide for every contingency. b : something liable to happen as an adjunct to or result of something else the contingencies of war.

What does contingent mean?

“Contingent” in any sense means “depending on certain circumstances.” In real estate, when a house is listed as contingent, it means that an offer has been made and accepted, but before the deal is complete, some additional criteria must be met.

What does contingency mean in a contract?

A contingency clause is a contract provision that requires a specific event or action to take place in order for the contract to be considered valid. If the party that’s required to satisfy the contingency clause is unable to do so, the other party is released from its obligations.

What is the purpose of contingency?

“The purpose of any contingency plan is to allow an organization to return to its daily operations as quickly as possible after an unforeseen event. The contingency plan protects resources, minimizes customer inconvenience and identifies key staff, assigning specific responsibilities in the context of the recovery.”

What is contingency plan Example?

Contingency plans are often devised by governments or businesses. For example, suppose many employees of a company are traveling together on an aircraft which crashes, killing all aboard. The company could be severely strained or even ruined by such a loss.

What is an example of a contingency plan?

How is contingency used?

In the case of an owner’s budget for a collaborative delivery project, the purpose of a contingency is to incorporate an additional allotment of funds within the final approved budget that can be used when and if the scope of a project changes with an associated cost increase in the delivered project.

Does contingent mean sold?

A property listed as contingent means the seller has accepted an offer, but they’ve chosen to keep the listing active in case certain contingencies aren’t met by the prospective buyer. If a property is pending, the provisions on a contingent property were successfully met and the sale is being processed.

How do you beat a contingent offer?

Here are some less-obvious strategies for besting the other wanna-be buyers who are vying for ‘your’ home:

  1. Offer more than asking (if the market data justifies it).
  2. Max out and show off your close-ability.
  3. Work with a well-respected agent and mortgage pro.
  4. Express your love for the home.

How long does a contingency last?

between 30 and 60 days
A contingency period typically lasts anywhere between 30 and 60 days. If the buyer isn’t able to get a mortgage within the agreed time, then the seller can choose to cancel the contract and find another buyer.

What are three 3 benefits of contingency planning?

In this case, a contingency plan helps the firm to maintain their position and avoid the risk of losses.

  • Reduces the Risk of Uncertainty. Future is unpredictable.
  • Continuity of Work.
  • Increases Credit Availability.
  • Prevents Panic.

What does pending vs contingent mean?

Yes, when a home is contingent it means the buyers have contingencies that must be cleared. The most common types of contingency are inspection, mortgage and appraisal. While when a home is pending it means there are no contingencies and most likely a done deal.

What is the definition of contingency?

Definition of contingency. 1 : a contingent event or condition: such as. a : an event (such as an emergency) that may but is not certain to occur trying to provide for every contingency. b : something liable to happen as an adjunct to or result of something else the contingencies of war.

What does contingent with kick out mean?

“Contingent with Kick-out” means that the seller is willing to accept a better offer if one comes along and may “kick out” the current offer. “Contingent with No Kick-out” means that the seller won’t be accepting more offers; however, if the current offer falls through, the listing will be switched back to Active and…

What’s contingent mean?

Definition of contingent. (Entry 1 of 2) 1 : dependent on or conditioned by something else Payment is contingent on fulfillment of certain conditions. a plan contingent on the weather.