Contracts

A Wyoming purchase agreement contains a 'survival clause' stating that certain representations 'survive closing.' This means:

AThe contract remains in effect after closing for all purposes
BSpecified warranties and representations remain enforceable after the deed is delivered✓ Correct
CThe seller must guarantee the property indefinitely after closing
DThe buyer can rescind the contract after closing for any reason

Explanation

Under the general rule of merger, a contract's terms are merged into (and superseded by) the deed at closing. A survival clause specifically identifies representations or warranties that are NOT merged into the deed and remain independently enforceable after closing.

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