Contracts
A Florida buyer includes a 'home sale contingency' in their offer. The seller's agent advises the seller that they should request a 'notice to perform' or 'kick-out clause' because:
AHome sale contingencies are illegal in Florida
BThese provisions allow the seller to continue marketing and give the buyer a deadline to remove the contingency if another offer is received✓ Correct
CThey protect the buyer from having to sell their home for less than market value
DThese clauses automatically void the home sale contingency after 30 days
Explanation
A kick-out clause (or right of first refusal clause) allows the seller to continue marketing the property after accepting a contingent offer. If a better offer comes in, the seller notifies the original contingent buyer who must then decide within a specified time (typically 24-72 hours) whether to remove the contingency and proceed or release the seller.
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