Contracts

In Maine, a buyer who defaults on a purchase and sale agreement may lose their:

ARight to purchase any real estate in Maine
BEarnest money deposit, which is retained by the seller as liquidated damages✓ Correct
CCredit score permanently
DReal estate license

Explanation

If a buyer defaults, the seller may retain the earnest money as liquidated damages, as specified in most Maine purchase and sale agreements, provided the clause is reasonable.

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