Which of the following is a requirement for a Conditional Contract to be legally enforceable?

A Conditional Contract in the context of insurance is a type of agreement that requires specific conditions to be met for the contract to be enforceable. This means that certain events or circumstances must happen before the obligations of the parties involved are activated.

In insurance, for example, this could involve the insured party needing to provide proof of loss for the insurance company to pay out a claim. Therefore, the requirement that all parties must fulfill certain conditions when a loss occurs ensures that the contract is not just a one-sided agreement but rather one that is contingent upon specific actions being taken or certain events occurring.

This structure is crucial because it protects both the insurer and the insured. It ensures that the insurer is only liable to pay out under the policy when the agreed-upon circumstances have taken place, thus establishing a clear and fair basis for enforcing the terms of the contract. This notion of conditionality is foundational to how insurance contracts operate within legal frameworks.