Sum Certain

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Definition of 'Sum Certain'

A legal description of the predetermined settlement price for a contract or negotiable instrument. A sum certain refers to a fixed or specific amount of money, without any room for ambiguity. A negotiable instrument cannot be negotiated unless it stipulates a sum certain.
Investopedia Says

Investopedia explains 'Sum Certain'

A contract that spells out a sum certain eliminates any room for misunderstanding or misinterpretation. For example, a contract that specifies a sum certain of $10,000 for work carried out, is clearer than an open-ended contract that specifies payment at a rate of $50 per hour, subject to a maximum of 200 hours.

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'Sum Certain'

  • Why Your Will Should Name Designated Beneficiaries

    http://www.investopedia.com/articles/pf/07/beneficiary_form.asp
    ... benefit. Generally they offer three payment options: Lump sum; Period certain;
    Amortization over the beneficiary's life expectancy. ...

  • Valeant Offers A Princely Sum For Cephalon

    http://stocks.investopedia.com/stock-analysis/2011/Valeant-Offers-A-Princely-Sum-For-Cephalon-VRX-CEPH-FRX-PFE-ENDP-SLXP-WRCX0331.aspx
    ... Valeant Offers A Princely Sum For Cephalon. ... Valeant enjoys a low tax rate due to
    certain assets being held in Barbados, and the company has a demonstrated ...

  • Selecting The Payout On Your Annuity

    http://www.investopedia.com/articles/retirement/05/071105.asp
    ... The other is taking a lump-sum payment. ... Period Certain With this option the value
    of your annuity is paid out over a defined period of time of your choosing ...

  • Selecting And Managing Insurance Payouts

    http://www.investopedia.com/articles/pf/08/insurance-payout-selection.asp
    ... Lump sum. - With a lump-sum payout you receive all of the funds you ... Partial payment
    contingent on certain conditions -Your insurance company may provide only ...

  • The Disability Insurance Policy: Now In English

    http://www.investopedia.com/articles/pf/07/disability_insurance.asp
    ... benefit". This is where a lump sum is paid for certain specified losses,
    such as loss of sight in an eye, or a severed hand or foot. ...

  • Explaining Types Of Fixed Annuities

    http://www.investopedia.com/articles/retirement/05/071205.asp
    ... passing, but because the payments are periodic rather than lump sum, the spouse ... Term
    Certain Annuities These annuities are a very different product than life ...

  • Getting To Know The Money Market

    http://www.investopedia.com/articles/04/071304.asp
    ... For example, if you find you have a certain sum of money that you do not immediately
    need (to pay down debt, for example), then you may choose to invest those ...

  • Variable Vs. Variable Universal Life Insurance

    http://www.investopedia.com/articles/pf/07/variable_universal.asp
    ... specific limits. You may also make a lump sum payment within certain limits
    or use your accrued cash value toward premium payments. The ...

  • Combining Your Plan Assets? Not So Fast!

    http://www.investopedia.com/articles/retirement/03/051403.asp
    ... Here's why: certain plan balances are eligible for special tax treatment, whereby
    the ... that accrued prior to 1974, and you take a lump-sum distribution from the ...

  • Series 26 Study Guide - Variable Contracts - Types of Annuity ...

    http://www.investopedia.com/exam-guide/series-26/variable-contracts/annuity-payouts.asp
    ... The value of the account can either be drawn in a lump sum or annuitized ... Life Annuity
    with Period Certain: An investor can purchase an annuity that guarantees ...

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