Contracts
A Washington purchase agreement requires earnest money forfeiture as liquidated damages. If the buyer defaults, the seller's remedy is limited to:
ASpecific performance plus earnest money
BActual damages regardless of the liquidated damages clause
CRetention of the earnest money as full compensation✓ Correct
DA court-ordered sale of the buyer's other property
Explanation
When a purchase agreement contains a valid liquidated damages clause and the buyer defaults, the seller's remedy is typically limited to retaining the earnest money deposit as agreed-upon compensation for the breach.
Related Washington Contracts Questions
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