Contracts
The phrase 'time is of the essence' in a real estate contract means:
ADeadlines are approximate and can be extended without consequence
BAll specified dates and deadlines are strictly enforced and cannot be missed without legal consequence✓ Correct
COnly the closing date is mandatory
DThe seller must make the property available immediately
Explanation
When a contract includes a 'time is of the essence' clause, all deadlines — including inspection periods, financing deadlines, and the closing date — are strictly enforced. Missing a deadline can constitute a material breach and could give the other party the right to terminate.
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