A condition subsequent is a philosophical and legal term referring to a defined event which terminates a proposition or a contractual obligation.
[3] [2] In law, a condition subsequent is an event, or state of affairs, whose occurrence is automatically construed to terminate the obligation of one party to the other.
Rep. 309 (1863) In a loan agreement, a condition subsequent is one which the borrower is required to satisfy within a set time period following their acquisition of the funds.
To exercise right of entry, the holder must take substantial steps to recover possession and title, for example, by filing a lawsuit.
Common uses include language such as "may", "but if", "however", or "provided that..." Some examples of conditions subsequent often requested by parties to a contract include bankruptcy, divorce, or relocation to a different area; a contract with such conditions will free that party from obligation to carry out its terms if some unforeseen event causes the situation to change dramatically.