Contracts

A purchase agreement in Alabama that is contingent on the sale of the buyer's current home is an example of a:

ANet listing
BContingency clause✓ Correct
CRight of first refusal
DOption contract

Explanation

A contingency clause makes the contract conditional on a specific event occurring — such as the sale of the buyer's existing home. If the contingency is not satisfied, the buyer may cancel without penalty.

Related Alabama Contracts Questions

Practice More Alabama Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Alabama Quiz →