Condition subsequent – used in Contracts & Obligations Law, the term details a condition in a a contract that causes the contract to become invalid if a certain event occurs – for example, in case of continuous non-payment of regular installments, set-up with the contract. This is different from a condition precedent. The happening of a condition subsequent may invalidate a contract which is, until that moment, fully valid and binding the parties with its terms and conditions. In the case of a condition precedent, no binding or valid agreement exists until the condition occurs.