Why Do Lawyers Draft That Way? The Earnest Money Liquidated Damages Clause

Why do lawyers draft that way? Sometimes habit. Sometimes market. Rarely because anyone checked the case law. What the Clause Is Supposed to Do- When a buyer and seller sign a purchase and sale agreement in a real estate transaction, they are not just agreeing on a price. They are allocating risk. One of the most fundamental allocations answers a simple question: If the buyer defaults, what does the seller get?... By: Levenfeld Pearlstein, LLC