escrow

Definition

A contractual arrangement whereby money or assets are held in trust by an independent agent by the agreement of the parties, which can only be released to the relevant party once certain contractual conditions have been fulfilled.

Etymology

Learned borrowing from Law French escrowe, from Old French escroe (“register, note; bit of parchment; piece”), from Frankish *skrōda (“piece”), from Proto-Germanic *skraudō, derivative of Proto-Germanic *skraudaną (“to shred”). Doublet of scrow and shred and partially scroll.

Example Sentences

• "GCN staffers wrote and called our landlords, complaining about the building's disrepair, for months before informing them, in September, 1985, that we would pay our rent into an escrow account until repairs were made."
• "The court will decide which party is the rightful owner of the items in escrow."
• "“Well, Dominic,” Della suddenly chimed in. “Seeing as this place of yours is still under escrow, seems to me it's not really yours yet, is it?”"

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