Realtors who don't possess a license to practice law should never play attorney. In Texas our contracts have blank areas referred to as Special Provisions. It's here that the principles (buyer and seller) can write just about anything they want. Here's a good example: "Buyer will have appraisal performed within 15 days of the the contract being executed or the contract will terminate and the earnest money will be forfeited to the seller."
Here's a poor example, "Seller will make all repairs to the home above $500 or buyer can cancel the contract at any time and without notice. Seller agrees to forfeit all plasma televisions and beer in the fridge as consideration for liquidated damages."
Sometimes the clients can get carried away with a special provisions clause. Expectations should be sensible and certainly legal.
But Realtors are not permitted to write anything they want in Special Provisions unless they are licensed attorneys. Factual statements, yes, but legal goobly gook, no.
But what if the buyer is a Realtor and the seller is a Realtor? Do the rules of Special Provisions still apply? Can the buyer (who is a Realtor) write something like this.... "If seller leaves any trash in the home during final-walk, buyer can terminate the contract without recourse and the entire earnest money will be refunded to the buyer. Seller will also rebate the buyer for the cost of inspections and appraisal in the amount of one thousand dollars. Additionally, the seller agrees to allow the buyer to post a "JUST SOLD BY BUYER AGENT BILLY" sign into the yard 10 days before closing. Buyer's agent can attach balloons to said sign. If SELLER IS HOME DURING INSPECTIONS SELLER AGREES TO A $500.00 price reduction."
Clearly the statement above is not a "factual statement" but more of a conditional threat with financial consequences. Let us also assume that both the buyer and seller are single. There are no spouses or other legal owners.
I learned the answer. I'll share it in a few days....