Contracts
The doctrine of 'time is of the essence' in a real estate contract means:
AThe buyer must close as quickly as possible
BAll contract deadlines are strictly enforced and failure to perform on time constitutes a breach✓ Correct
COnly the closing date is mandatory — other dates are flexible
DThe seller can terminate if the buyer is one day late
Explanation
When a contract states 'time is of the essence,' all deadlines — including inspection periods, financing deadlines, and the closing date — are strictly enforced. Failure to meet any deadline can constitute a material breach.
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