Concurrent
Happening at the same time; concurrent obligations must be performed simultaneously; concurrent jurisdiction means multiple courts have authority.
While straightforward in theory, many businesses fail to actively track obligations tied to this concept - often resulting in missed deadlines, unintended renewals, penalties, or loss of contractual rights.
US Law · For business owners and foundersWhat is a Concurrent?
Concurrent means happening at the same time. In contract law, concurrent obligations are duties that must be performed simultaneously. Neither party is required to perform first; both must tender performance at the same time. In litigation, concurrent jurisdiction means multiple courts have authority over the same dispute.
Concurrent obligations are common in purchase agreements: the buyer's duty to pay and the seller's duty to deliver are typically concurrent. Neither party can claim the other breached unless the other failed to tender concurrent performance.
In criminal law, concurrent sentences run at the same time. If sentenced to 5 years concurrent with a 3-year sentence, you serve 5 years total, not 8 years. Concurrent differs from consecutive sentences, which run one after the other.
In practice, many teams rely on a contract expiry tracking system to stay on top of dates and obligations tied to clauses like this.
Key Elements
Tender Requirement
With concurrent obligations, each party must be ready and willing to perform at the same time. You cannot claim breach if the other party was willing to perform concurrently but you were not. Both parties must tender (offer to perform) simultaneously.No Duty to Perform First
With concurrent obligations, no party has a duty to perform before the other. A seller cannot claim the buyer breached by not paying first if the contract makes payment and delivery concurrent. Both must happen together.Concurrent Conditions
Concurrent conditions are prerequisites to performance that exist simultaneously. For example: "Buyer's duty to pay is conditioned on Seller's readiness to deliver." If Seller is not ready, Buyer has no duty to pay, and vice versa.Timing and Simultaneity
Concurrent obligations require sophisticated timing mechanisms. Escrow arrangements, closing agents, and synchronized wire transfers are often used to ensure neither party performs until both are ready.Concurrent Jurisdiction and Venue
When courts have concurrent jurisdiction, the plaintiff chooses the forum, and the first court to assume jurisdiction typically hears the case. The defendant may try to move to a different court, but concurrent jurisdiction means the original court can retain the case.Real-World Example
Sale contract states: "Payment and delivery are concurrent obligations. At closing, Buyer shall pay by wire transfer and Seller shall deliver title by deed." Buyer demands Seller deliver the deed first; Seller demands Buyer pay first.
With concurrent obligations, neither has the right to demand the other go first. Both must be ready to perform at the same time. A closing agent or escrow arranges simultaneous payment and delivery. If either party is not ready at the scheduled closing time, they are in material breach.
This is why many businesses adopt automated deadline tracking to ensure no critical dates are missed before they pass.
Sample Clause Language
Concurrent Obligations ClauseWatch Out For
Unclear whether obligations are concurrent or sequential
If a contract does not specify, courts will try to infer the intent. Ambiguity on this point is costly. Always state clearly: "Concurrent" or "Seller shall deliver first, then Buyer shall pay within 30 days." Do not assume a default rule.Failing to tender concurrent performance and then claiming the other party breached
If obligations are concurrent, you cannot claim the other party breached unless you were ready and willing to perform concurrently. If you were not ready, you cannot force the other party to perform.Assuming concurrent jurisdiction allows you to file in any court
Concurrent jurisdiction means the plaintiff has a choice and can file in either court. But once one court takes jurisdiction and the case is underway, the other court will defer. The first court to hear the case typically retains it.Don't let concurrent deadlines catch you off guard
Key dates tied to concurrents - renewal windows, expiry cutoffs, notice periods - can easily slip through the cracks when tracked manually. Missing them triggers automatic extensions, penalties, or lost rights. ExpiryEdge tracks every critical deadline and sends automated reminders before they're due - so nothing slips.
Instead of relying on spreadsheets or manual follow-ups, a centralized renewal reminder system ensures every deadline is visible, tracked, and actioned automatically.
How to Use This in Your Favor
Use concurrent obligations to protect payment
If you are a seller, make payment and delivery concurrent. This prevents the buyer from taking delivery and then refusing to pay. Concurrent obligations force simultaneous performance.Use escrow agents for concurrent obligations
For large transactions, use an escrow agent to hold funds and documents until both conditions are met. The escrow agent ensures neither party performs until both are ready.Related Terms
Frequently Asked Questions
If obligations are concurrent and one party is 1 minute late, is the other in default?
No. Concurrent obligations require substantial tender and good faith effort to perform at the same time. Courts allow reasonable time windows and do not penalize minor timing delays if both parties are genuinely ready.
Can a contract say obligations are concurrent but one party must perform first?
No, that would be contradictory. If one party must perform first, the obligations are sequential, not concurrent. The contract should clearly specify the order of performance.