abandon


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Related to abandon: Reckless Abandon

Abandon

1. To decide not to exercise an option. This occurs when an option is out-of-the-money on the exercise date. That is, one may abandon an option if it is currently unprofitable and thus highly unlikely to become profitable.

2. To withdraw one's claim to an asset, especially an unprofitable one. Corporations must file appropriate paperwork with the government to abandon assets. Alternatively, an individual may abandon both real and personal property. For example, a homeowner may leave his/her house and never intend to return. A squatter may then come to possess the home through adverse possession. An important component of abandonment is the owner's intent never to return or otherwise possess the property again.

3. To opt out of a forward contract according to the procedure specified therein. When one abandons a forward contract, one does not buy or sell the underlying asset and it is not delivered.

abandon

To elect not to exercise an option.
References in periodicals archive ?
Darley director of stallions Sam Bullard said: "Reckless Abandon was an unbeaten champion twoyear-old, a brilliant sprinter and he has the physique to match.
In addition, the court allowed the deduction for some of the intangibles even though the taxpayer did not abandon all of them.
Thus, if an asset should become worthless in Year 1 but the taxpayer should take no steps to abandon it until Year 2, the inimical result of the commissioner's position would be a disallowed deduction in Year 1 for lack of abandonment and a disallowed deduction in Year 2 as well because the property first became worthless in Year 1--a classic Catch-22 position for taxpayers.
Ultimately, the estate was able to refinance two properties, and the trustee withdrew his request to abandon those.
I think it was time years ago to abandon this Belmont project to find a safe site to build a new school,'' he said.
Whether the school board once again will vote to abandon Belmont or agree to spend more to salvage it remained an open question.
Unfortunately people abandon animals all the time,'' Patrice said.