Option Agreement
/ˈɒpʃən əˈɡriːmənt/
Definitions
- (n.) A contract granting one party the right, but not the obligation, to enter into a future transaction under specified terms.
The parties signed an option agreement giving the buyer the exclusive right to purchase the property within six months.
Forms
- option agreements
Related terms
See also
Commentary
Option agreements are used to secure a commitment without an immediate obligation, often seen in real estate and commercial transactions.
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.