“Time is of the essence”
When this phrase accompanies a deadline in a contract, performance by party to the contract within the time specified is essential to that party’s right to require performance by the other party.
Not all contract deadlines are essential, and many aren’t within the control of the parties to the contract. Therefore, minor deviations from those deadlines may not result in a breach of contract.
Have questions about other contract terminology? Call the Legal Hotline at 800-873-9155.
Why would TREC or TAR leave the deadline issue wide open like that? With all the regulations I would think the DEADLINE would be clear and complete for all parties.
I was wondering the same thing!
Think closing date… how many times is funding out of the control of the buyer. Even in a cash transaction, a wire can get held up.
In busy markets it may take lenders and appraisers longer to complete. If appraiser can’t go in time to get report in and it get sent back to UW that is out of buyers control. It makes our job extremely hard and stresses everyone out, but it happens.
Because it could be argued that a short delay in closing is not a material breach of the contract.
or the closing date can move up as well.
Why wouldn’t they have elaborated on this article. Am I missing some more of the article?
Talk about vague. I appreciate your perspective but for those who risk our license by incorrectly advising our clients, just saying, “not all contracts deadlines are essential” is of no use. For clarity. Which of the following deadlines are not essential? Earnest Money Deposits, Option Money Delivery, Receipt of Survey & T-47, Delivery of HOA Docs, Title Commitment, Buyer objection period (6.D), Completion of Lender Required Repairs, Closing, Termination by Para. 23, Delivery of Option Period, Buyer’s Approval of Financing, Date for Seller to Close Contingent Property, Buyer Response to Waiving of Contingency?