Contracts
In Alabama, if a buyer defaults on a real estate purchase contract, the seller's remedy may include:
ARetaining the earnest money as liquidated damages if so stated in the contract✓ Correct
BFiling a criminal complaint against the buyer
CAutomatically transferring title to their name
DCollecting treble damages under Alabama law
Explanation
Many Alabama purchase contracts include a liquidated damages clause allowing the seller to retain the earnest money as their remedy if the buyer defaults.
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