Contracts

Time Is of the Essence

A contract clause that makes the stated deadlines strictly enforceable, so missing a date is a breach.

Quick flashcard

What does Time Is of the Essence mean on the Texas real estate exam?

Answer: A contract clause that makes the stated deadlines strictly enforceable, so missing a date is a breach.

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Time Is of the Essence definition

A time is of the essence clause means the deadlines in the contract must be met exactly. When this clause applies, performing late is a breach even if the delay is short.

Without such a clause, a court may allow a reasonable time to perform, but the clause removes that flexibility.

Source basis

Definition checked against the official sources below on .

On the exam

Time is of the essence makes deadlines strict. Late performance becomes a breach.

Exam trap

With this clause, even a small delay can be a breach. Do not assume a grace period applies.

Tested in

Contracts & Agency (16 of 80 National)

From definition to recall

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This definition is Texas real estate exam-prep education, not legal, tax, or professional advice. Verify current rules against the official source before relying on them for a real transaction. Back to the full glossary.