Contracts

A Virginia contract includes a 'time is of the essence' clause. This means:

AThe parties should close as soon as possible
BAll contract deadlines are strict and failure to meet them may constitute default✓ Correct
CThe broker must find a new buyer quickly
DThe lender must approve the loan within 30 days

Explanation

A 'time is of the essence' clause makes all contractual deadlines strict. A party who misses a deadline without an extension may be in default, potentially forfeiting the earnest money or losing the right to purchase.

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