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An amount of money paid to indicate good faith in a transaction before the transaction is completed.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Earnest Money

A small amount of money that a seller requires a potential buyer to deposit before a transaction is completed. Earnest money ensures that the potential buyer is serious about the transaction and will be likely to complete it when the time comes. If the buyer subsequently withdraws from the deal, he/she usually forfeits the earnest money. It is common in real estate and securities (where it is usually called a good faith deposit). Earnest money reduces the risk to the seller. It is also called a binder.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved


(1) Money given as earnest money for an oral contract to purchase real estate, to bind the parties until such time as they can complete the necessary written contract. (2) A written instrument giving immediate casualty coverage for property, even though the insured may not have paid a premium or received a policy.(3) A temporary contract of title insurance in which the insurer agrees to issue a final policy if certain exceptions, such as prior mortgage liens, are removed at or before closing.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
Abdominal binder was used to control the bleeding and reduce the need for further intervention.
Abdominal binder was also applied to reverse shock and keep the patient stable vitally.
An abdominal binder was placed under the lower part of the woman's back.
Larson C, Ratzer E, Davis-Merritt D, Clark J (2009) The effect of abdominal binders on postoperative pulmonary function.
Rothman JP, Gunnarsson U, Bisgaard T (2014) Abdominal binders may reduce pain and improve physical function after major abdominal surgery - a systematic review.
Patients from four months to 17 years after injury were studied while in the sitting position without an abdominal binder. Vital capacity, total lung capacity and expiratory reserve volume were all markedly decreased while residual volumes were substantially increased.[12] All patients demonstrated a marked decrease in the anterioposterior (AP) diameter of the rib cage during a forced expiration, but the reduction in the upper portion of the rib cage was disproportionately larger than the reduction in the lower portion of the rib cage.
The abdominal binder combined with FES produced increased expiratory pressure consistent with an improved cough[44] and increased peak expiratory flow,[69] however, manual thrusts generated the greatest peak expiratory cough flows.[38] The FES method of assisted cough delivered with an abdominal binder may improve airway clearance in quadriplegics by increasing the frequency of cough due to increasing independence in performing assisted cough.
In summary, during the period of spinal shock the work of breathing is decreased in the supine position; in the sitting position the use of an abdominal binder decreases the work of breathing.
The use of abdominal binders reduced seromas significantly.
Products featured at DocOrtho include knee, elbow, ankle, wrist and back braces, abdominal binders, chest and rib belts, and hernia, maternity, posture, shoulder supports.
London, Dec 20 (ANI): Abdominal binders, elasticized wraps that are applied around the lower part of the torso to support the abdomen, may endanger women's lives, say experts.
Royal College of Midwives (RCM) has warned that abdominal binders such as the Cinch can do more harm than good, reports The Independent.