ContractsIntermediateArizona Exam

In Arizona, if a seller fails to provide the SPDS (Seller's Property Disclosure Statement) within the time required by the purchase contract, the buyer may:

ACancel the contract and get their earnest money backCorrect
BRequire the seller to be penalized by the ADRE
CSue for specific performance automatically
DComplete the SPDS on behalf of the seller

Why Cancel the contract and get their earnest money back Is Correct

Answer A: Cancel the contract and get their earnest money back

If the seller fails to timely provide the SPDS as required by the contract, the buyer typically has the right to cancel the contract and receive a refund of their earnest money, exercising their contractual right.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

Key Contracts Terms in This Question

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