A contract includes a sale-of-existing-home contingency. The buyer's current home does not sell by the stated date. What typically happens?
Correct Answer
B) The buyer may be required to waive the contingency or the contract may terminate
If the buyer's home does not sell by the stated date, the contingency typically allows the contract to terminate or requires the buyer to proceed without the contingency, depending on the contract terms.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Specific performance is a court-ordered remedy that compels the breaching party to fulfill their obligations under the contract rather than simply paying monetary damages. It is an equitable remedy used when monetary damages would be inadequate.
The Statute of Frauds is a legal requirement that certain types of contracts must be in writing and signed to be enforceable. In real estate, all contracts for the sale of land or interests in land must be in writing.
A time is of the essence clause in a contract means that all deadlines and dates specified in the agreement are strictly enforceable, and failure to meet them constitutes a material breach.
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