kickout clause

Definition

A contingency allowing sellers to accept backup offers and 'kick out' current buyers if they can't remove their contingencies fast enough. The real estate equivalent of keeping your options open while dating.

Example Usage

The kickout clause gave them 72 hours to waive their home sale contingency or lose the house to a cash buyer, creating a weekend of financial panic.

Origin

Developed in markets where contingent offers were common but sellers wanted flexibility

Fun Fact

Kickout clauses theoretically create urgency, though they often just convert one stressful negotiation into multiple simultaneous ones.

Source: Real estate contract negotiation terminology

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