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To print this article, all you need is to be registered or login on Mondaq.com. Escrow is the term used when funds or assets are held by a neutral, jointly-appointed third party on behalf of two contracting parties, subject to a transaction being completed between them (typically a contract of sale), until certain predetermined obligations or conditions under the agreement have been met. More simply put, an escrow account is a bank account with defined conditions for the release of funds. Etymologically, the word derives from the French word escroue, which refers to a scrap or roll of parchment that served as a written instrument that could ....