Contracts
Time is of the essence in a real estate contract means:
AThe contract expires after a reasonable time
BDeadlines in the contract are strictly enforced and failure to perform on time is a material breach✓ Correct
CThe parties can freely extend any deadline
DEscrow must close within 30 days
Explanation
'Time is of the essence' means contract deadlines are strictly enforceable. If a party fails to meet a deadline (such as removing contingencies or closing escrow), the other party may declare a breach and exercise their legal remedies.
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