Contracts

A Kentucky buyer makes an earnest money deposit of $5,000. The seller accepts but then refuses to sell. The buyer's most appropriate remedy is:

AKeep the earnest money as the only remedy
BSue for specific performance to compel the sale✓ Correct
CFile a complaint with KREC
DRequest the earnest money back and walk away

Explanation

When a seller breaches a real estate contract, the buyer may sue for specific performance to compel the seller to complete the sale, since real property is unique and monetary damages may be inadequate. The buyer may also seek damages.

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