Conditions precedent

Definition

The requirements that have to be satisfied before a closing happens.

Why It Matters

A signed purchase agreement is not a done deal: the close only happens once every one of these is cleared, from lender approval to lease assignments to clean lien searches. Tracking them like a checklist is what keeps a deal from stalling in the weeks between signing and funding, where many quietly die.

In numbers: The $1.35M financing commitment, the landlord's consent, the license transfer, and a clean lien search each sit as conditions precedent: any one unmet on closing day and no one is obligated to wire.