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Lynne Agrees to Buy Harriette's Farm for $200,000 and Puts

Question 48

Multiple Choice

Lynne agrees to buy Harriette's farm for $200,000 and puts $20,000 down. Then Lynne learns she is allergic to hay and repudiates the contract. If Harriette can sell the farm in a good faith transaction for $190,000 a month later, she may:


A) keep Lynne's $20,000.
B) keep $10,000 of Lynne's down payment.
C) not keep any of the down payment money.
D) sue for specific performance.

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