Last October, I had a customer who was in the process of buying a single family home, when the stock market crashed. I had written in a three day rescission period for him to review the home owner's association's financial postition. (He was concerned about the health of the community.) During this review period, all heck took place in the world and the stock market fell to a record low. It was really touch and go as to whether the buyer wanted to proceed or not on the contract.
My customer said,"What if the stock market does not come back? I have already lost so much money. I cannot afford to have the whole system fall apart." I would like to take credit for the solution, but my customer found the answer to the problem. He had me draft an amendment that said, "He would pay X amount more for the home if the stock market were over 9000 points on October 31,2009 and he would owe nothing more if the stock market were under 9000 points on Halloween.
The world looks better today. The stock market and our economy seems to be going the right direction. My customer will most likely have to pay more for the home at the end of the month but he is in a better financial position and he protected himself from a catastrophic situation. It was a very cool amendment!
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