What does anticipatory repudiation allow a seller to do?

Anticipatory repudiation allows a seller to declare the buyer in breach of contract before the closing occurs. This legal concept applies when one party indicates that they will not fulfill their contractual obligations, either through a clear statement or through actions that show an intention not to perform.

In real estate transactions, if a buyer communicates their unwillingness or inability to complete the purchase, the seller can treat this as a breach of contract. By doing so, the seller is permitted to pursue remedies typically available in breach situations, such as seeking damages, retaining the deposit, or finding another buyer. This enables the seller to take proactive measures rather than waiting until the closing date to see if the buyer follows through.

The other options do not correspond with the implications of anticipatory repudiation. Renewing the sale contract, canceling the listing agreement, or requesting a higher price are not direct actions that stem from a buyer's anticipated breach of contract. Instead, they involve different aspects of contract modifications or negotiations unrelated to the acknowledgment of a breach.