Use SCR311 due diligence addendum and write in a number of business days for the due diligence period (e.g. 10 business days after the effective date).
Using SCR310 residential contract, Section 5 Earnest Money state the earnest money amount shall be paid within a number of business days in excess of the due diligence period (e.g. 10 business day due diligence period so the $1,000 earnest money shall be paid within 11 business days of contract’s effective date).
If the buyer terminates under due diligence by timely/properly delivering the termination notice (SCR313) and the due diligence termination fee by check made payable to the seller, then the contract is no longer valid and no earnest money is never due to be paid.
If the buyer does not terminate under due diligence, then the buyer proceeds to closing and time/properly delivers the earnst money.
Posted by : Byron King on 4/18/18 (This information is only accurate as of 4/18/18. You must contact SCR for updates and changes to this information after 4/18/18 as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org)