Condition precedent – used in Contracts & Obligations Law, the term refers to a contractual condition that suspends the coming into effect of a contract unless or until a certain event occurs. For example a Title Deed for purchase of many residential real estate contracts have a condition precedent which states that the possession will not be transferred to the buyer until and unless the real estate is subjected to an professional inspection on their behalf, the results of which are satisfactory to the purchaser.