Contracts

In Kansas, which of the following is an example of an 'implied covenant' in a real estate purchase agreement?

AThe commission percentage stated in the listing
BThe implied duty of good faith and fair dealing — both parties must act honestly and cooperate in fulfilling the contract✓ Correct
CThe specific repair items listed in the addendum
DThe closing date stated in the agreement

Explanation

An implied covenant of good faith and fair dealing is present in all Kansas contracts — requiring both parties to cooperate in the performance of the contract and not frustrate the other's reasonable expectations.

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