Contracts
Liquidated damages in a Nevada purchase contract refer to:
AThe seller's obligation to repair all property defects before closing
BA pre-agreed amount (often the earnest money) that is the maximum damages if the buyer defaults✓ Correct
CCourt-ordered damages paid by the agent for misrepresentation
DThe lender's fees charged for early payoff of the mortgage
Explanation
A liquidated damages clause pre-sets the amount of damages if the buyer defaults — typically the earnest money deposit — so the seller's remedy is limited to that amount rather than suing for full damages.
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