Contracts
In North Dakota, a contract clause requiring all disputes to be resolved by arbitration rather than courts is called:
AA liquidated damages clause
BAn arbitration clause✓ Correct
CA forum selection clause
DAn escalation clause
Explanation
An arbitration clause specifies that disputes arising from the contract will be resolved through binding arbitration rather than litigation in court. Many commercial real estate contracts include arbitration clauses as they can be faster and less expensive than court proceedings.
People Also Study
Related North Dakota Questions
- In North Dakota, an offer becomes a binding contract when:Contracts
- A North Dakota real estate contract that contains an 'as-is' clause generally means:Contracts
- What is the 'integration clause' (merger clause) in a North Dakota real estate contract?Contracts
- A North Dakota commercial tenant holds a lease with a 'percentage rent' clause. This means the tenant pays:Property Management
- A North Dakota buyer makes a written offer and the seller verbally accepts. Is there a binding contract?Contracts
- Which of the following must a North Dakota real estate broker include in all contracts?North Dakota License Law
- A North Dakota property purchased at a foreclosure sale was sold for less than the outstanding loan balance. The lender may seek the difference through:Finance
- A North Dakota commercial tenant's lease includes a 'force majeure' clause. This clause protects the tenant from liability for:Property Management
Key Terms to Know
Purchase Agreement
A legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Short SaleA sale of real property where the sale proceeds are less than the outstanding mortgage balance, requiring lender approval.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Study This Topic
Practice More North Dakota Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free North Dakota Quiz →