Contracts
Under the TREC contract, if the buyer fails to deposit the earnest money within the required timeframe, the seller may:
AAutomatically keep any future earnest money
BTreat the failure as a default and either demand performance or terminate✓ Correct
CForce the title company to proceed with the transaction
DOnly request TREC arbitration
Explanation
Failure to timely deposit earnest money is a default by the buyer. The seller may treat this as a material breach — either demanding the buyer cure the default and proceed, or terminating the contract and pursuing available remedies.
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