Contracts

A buyer who defaults on a purchase agreement may face:

ACriminal charges from the IREC
BLoss of earnest money, a suit for specific performance, or a lawsuit for damages✓ Correct
CAutomatic transfer of title to the seller
DRevocation of their real estate license

Explanation

A defaulting buyer may lose their earnest money deposit (if agreed as liquidated damages), be sued by the seller for specific performance, or face a lawsuit for actual damages.

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