Contracts

Time is of the essence in a Vermont real estate contract means:

AThe parties must close as quickly as possible
BDeadlines in the contract are firm and failure to meet them constitutes a breach✓ Correct
CThe contract automatically terminates after 30 days
DThe closing date may be extended at either party's discretion

Explanation

A 'time is of the essence' clause makes all deadlines in the contract strict and binding. Failure to perform by a specified date constitutes a material breach of the contract.

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