Contracts (alternative)

In Maryland, a purchase contract that requires the buyer to use a specific title company is:

ALegally required for all Maryland transactions
BPotentially a RESPA violation if the seller or agent has a financial arrangement with the specified company✓ Correct
CA standard practice with no legal implications
DRequired by MREC regulations

Explanation

Requiring buyers to use a specific title company where the seller or agent has an undisclosed financial interest may violate RESPA's anti-kickback provisions and affiliated business arrangement disclosure requirements.

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