In an option transaction the buyer has a right and the seller has an o...

Options and futures are very different contracts. An option on the one hand is a contract to purchase or sell the underlying asset. Whereas, a futures contract is an agreement to take or make delivery of a commodity. In an options contract the buyer pays the premium to acquire the contractual right. In the case of a call option the buyer acquires the right to purchase the futures contract. The seller who has received the premium is now obligated to deliver the futures contract at the strike price. In the case of a put option the buyer pays the premium to the seller and now has the right to sell the futures contract at the strike price. The seller of the put option because he / she received the premium is now obligated to purchase the futures contract. When 2 parties enter into a transaction in a futures contract, they do not exchange premiums. The buyer and seller of the contract must both deposit the required margin with their FCM. Therefore neither party acquires a right from the other. Instead both parties are now obligated to perform under the terms of the contract. The buyer who is now long the contract is obligated to take delivery of the commodity. While the seller who is short the contract is now obligated to to make delivery. The margin collected from both parties is their good faith deposit and it shows to the exchange and clearinghouse that they will be able to meet their obligations under the contract.