Contracts

In West Virginia, a 'time is of the essence' clause in a purchase contract means if the buyer fails to close on the specified date:

AThe seller must provide a 30-day extension automatically
BThe seller may treat the failure as a material breach and retain the earnest money✓ Correct
CThe closing date automatically extends 7 days by law
DThe buyer receives a full refund and the contract is void

Explanation

When time is of the essence, failure to close on the specified date is a material breach. The non-defaulting seller may terminate the contract and typically retain the earnest money as liquidated damages under the contract terms.

Related West Virginia Contracts Questions

Practice More West Virginia Real Estate Questions

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

Take the Free West Virginia Quiz →