What term refers to an event that must occur before a duty of performance arises in a contract?

• A. Condition precedent
• B. Condition subsequent
• C. Concurrent condition
• D. Implied warranty

Answer: (A)

The triggering idea here is that a contract’s duty to perform only comes into play after a specific event happens. That event is a condition precedent—an occurrence that must take place before either party owes performance. If the condition isn’t satisfied, there’s no duty to perform and no breach for not performing.

In contrast, a condition subsequent ends or changes a duty after performance has already begun if the event occurs. A concurrent condition requires both sides to perform at the same time, with each party’s performance contingent on the other. An implied warranty is a promise inferred by law about the quality or circumstances of the contract, not a precondition that creates a duty to perform.