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LSDefine

Simple English definitions for legal terms

caution money

Read a random definition: non residentia clerici regis

A quick definition of caution money:

Caution money, also known as earnest money, is a deposit made by a person who wants to buy something, usually real estate. This deposit shows that the person is serious about buying and intends to complete the transaction. If the person fails to follow through with the purchase, they may lose the deposit. In real estate, the deposit can be a large amount of money, often up to 10% of the purchase price. The purpose of the deposit is to provide compensation to the seller if the buyer defaults on the agreement.

A more thorough explanation:

Caution money, also known as earnest money, is a deposit made by a potential buyer to show their intention to complete a transaction, usually in the context of real estate. This deposit is often held in escrow and can be forfeited if the buyer fails to follow through with the purchase.

For example, if someone wants to buy a house, they may be required to put down a certain amount of caution money to show that they are serious about the purchase. If they later decide not to go through with the sale, they may lose this deposit.

Caution money is not just a token amount, as it can often be thousands of dollars. Its primary purpose is to serve as a source of payment for damages if the buyer defaults on the purchase.

It's important to note that caution money is not always necessary to make a purchase agreement binding. If the buyer and seller exchange mutual promises of performance, such as the buyer's promise to purchase and the seller's promise to sell at a specified price and terms, this can be enough to make the contract legally binding.

cautioner | cautionry

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got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
WorthlessAttractiveZombie
7:44
My berkeley paragraph finally disappeared. I definitely think it is just an indicator that they are actively reviewing files, and does not mean anything about A, WL, or Rs
WorthlessAttractiveZombie
7:46
Also has anyone's date disappeared for W&L? Mine did last night
7:55
@WorthlessAttractiveZombie: mine did yesterday morning
7:56
Oops sorry I meant Vilanova. Mine disappeared last week
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