Contracts
A Florida seller retains the 'earnest money as liquidated damages' clause in a FAR-BAR contract. If the seller also defaults, the buyer's remedies include:
AOnly receiving their deposit back
BSpecific performance (to compel the sale) or actual damages from the seller's breach✓ Correct
COnly a refund plus 10% penalty from the seller
DNo additional remedies beyond the deposit
Explanation
The liquidated damages clause limits the SELLER's remedy if the BUYER defaults. If the SELLER defaults, the buyer's remedies are not limited by this clause — the buyer may seek specific performance (forcing the sale) or sue for actual damages.
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