Contracts
Earnest money deposited in a South Dakota real estate transaction is:
ANon-refundable under all circumstances
BProperty of the seller once the contract is signed
CHeld in trust by the broker until closing or contract termination✓ Correct
DPaid directly to the listing agent as commission
Explanation
Earnest money is held in the broker's trust account until the transaction closes or the contract is terminated. Disbursement depends on the contract terms and circumstances of termination.
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