What Is the Legal Term Given to a Clause That

question 75

Multiple Choice

What is the legal term given to a clause that makes a contract enforceable against a buyer only if the buyer is able to secure a satisfactory building inspection?

• A) a liquidated damages clause
• B) a limitation of liability clause
• C) a condition subsequent
• D) a condition precedent

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Definitions:

Marginal Utility

The additional satisfaction or benefit a consumer gains from consuming one more unit of a good or service.

Expected Income

Expected income refers to the amount of money an individual or entity anticipates earning over a specific period, taking into account various factors like job stability, market conditions, and investments.

Safety Flaw

A defect or deficiency in a product or system that could pose a risk to health or safety.

Risk Preference

An individual's or entity's willingness to tolerate risk or uncertainty in investment or economic decisions.