Contracts
Condition Subsequent
Definition
A condition subsequent is an event that, when it occurs, extinguishes an existing duty to perform or discharges a duty that has already accrued. Unlike a condition precedent, which must happen before a duty arises, a condition subsequent terminates an obligation that was already in effect. The party seeking to be excused bears the burden of proving the condition subsequent occurred.
Example
An insurance policy states coverage will terminate if the insured fails to file a proof of loss within 60 days of the incident. Filing the proof of loss is a condition subsequent.