by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is an Exculpatory Clause? An exculpatory clause is a provision in a contract relieves a party from liability resulting from the execution of a contract. That is, it is used to relieve a party to a contract from liability for errors that occur during a project...
by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is a Construction Lien? A construction lien is a type of lien that protects builders, vendors, suppliers, contractors and other professionals from the risk of not being paid for their labor and materials supplied for a construction project. The professional may...
by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is an Abandonment Option?An abandonment option refers to a section in a contract that gives parties in the contract the right to withdraw from a business deal before it matures. In other words, the abandonment option simply grants the ability to the option holder...
by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is an Escalation Clause?An escalation clause (or escalator clause) refers to a provision permitting a rise in the price of goods, services, or labor wages. The escalation clause is often employed to account for price inflation. Escalation clauses are common in...
by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is a Sum Certain?A sum certain (or sum payable) describes the specific amount clearly stated in a financial contract or negotiable instrument such as a mortgage note or promissory note. A sum certain is void of ambiguity, hence, there can be no misconstruction or...
by Jason M. Gordon | Feb 23, 2025 | Commercial Law: Contract, Payments, Security Interests, & Bankruptcy
What is a Possessory Lien? A possessory lien gives a creditor the authority to possess the property that is subject to the lien until the borrower has paid the subject debt or loan. A lien refers to a legal claim that a person has over somebody else’s property....
