Contracts

When a purchase contract requires the buyer to notify the seller in writing that an inspection contingency has been satisfied, and the buyer fails to do so, the contingency is typically:

AAutomatically extended by 5 business days
BDeemed waived, obligating the buyer to proceed✓ Correct
CDeemed unsatisfied, allowing the buyer to terminate
DSubject to TREC arbitration

Explanation

If a buyer is required to give written notice that a contingency has been met or waived and fails to do so by the deadline, the contingency is generally deemed waived under Tennessee contract practice. The buyer becomes obligated to proceed without the protection of the contingency.

Related Tennessee Contracts Questions

Practice More Tennessee Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Tennessee Quiz →