Contracts

A Massachusetts seller's P&S requires the buyer to obtain title insurance. If the buyer fails to do so, the buyer:

ACan close without title insurance if no defects are found
BIs in breach of the contractual obligation to obtain title insurance✓ Correct
CAutomatically cancels the purchase
DMust substitute a personal guarantee

Explanation

Failing to comply with a P&S requirement (such as obtaining title insurance) constitutes a breach of contract. The seller could use this failure to challenge the closing or seek remedies depending on the contract language.

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