Put Option

Put Option means:
a contract or agreement that grants the right to sell at a specified price a specific number of shares by a certain date. Contract under which the holder of the option has a right but not an obligation to sell securities or commodities, including foreign currencies, for a specified price during a specified period. A put or call is considered a capital asset when held by a nondealer. See also call option. Former IRC (check if this IRC provision is current here) §1234.