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BC Real Estate Trading Services Licensing Exam Practice · Question

Failure to remove a subject condition by the specified date in a contract of purchase and sale typically results in:

Unless otherwise specified in the contract, if a subject condition is not removed or waived by the specified date, the contract of purchase and sale usually bec

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Question: Failure to remove a subject condition by the specified date in a contract of purchase and sale typically results in:

Answer options:

  • Automatic extension of the condition removal date.
  • The contract becoming firm and binding. ✅ The contract becoming null and void.
  • A penalty fee payable by the party who failed to remove the condition.

Correct answer: The contract becoming null and void.

Explanation: Unless otherwise specified in the contract, if a subject condition is not removed or waived by the specified date, the contract of purchase and sale usually becomes null and void, and the deposit is returned to the buyer.

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