Escrow
/ˈɛskroʊ/
Definitions
- (n.) A legal arrangement in which a third party temporarily holds money or property until the conditions of a contract are fulfilled.
The buyer deposited the funds in escrow until the home inspection was completed.
- (v.) To place money or property in the custody of a third party until the fulfillment of contract conditions.
The seller agreed to escrow the deed until the payment was cleared.
Forms
- escrows
- escrowing
- escrowed
Related terms
See also
Commentary
Escrow arrangements safeguard parties by ensuring obligations are met before transfer; precise definition of conditions is crucial.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.