Contracts
Which of the following best describes a 'time is of the essence' clause in a Maryland real estate contract?
AAll deadlines are flexible and may be extended by mutual agreement
BAll specified dates and deadlines are strictly binding, and failure to perform on time constitutes a breach✓ Correct
CThe closing date may be extended at the buyer's sole discretion
DThe seller must accept any offer within 24 hours
Explanation
A 'time is of the essence' clause makes all contract deadlines strictly enforceable; missing a deadline can constitute a material breach.
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