• Que.

    collateral to the contract


    Collateral to the contract typically refers to additional assets or securities provided as security or assurance for fulfilling the terms of a contract. In simpler terms, it's like a backup plan to ensure that if one party fails to meet their obligations, there's something valuable that can be used to compensate the other party. This could be anything from property deeds to financial investments. Essentially, it's a safety net that adds a layer of protection and trust to the agreement, reassuring both parties that there's a recourse in case things don't go as planned.

    May 06 2024

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