From the Legal Hotline: When Time of Day is Not Specified in a Contract Deadline

(This article was edited on 1/24/24 to reflect a new paragraph number in the form and to provide further clarifications).

When does a time period expire or must notice must be given if the deadline provided in the contract does not explicitly state a time?

Where no time is stated in a contract, the deadline for giving notice or the expiration of a time period is 11:59 p.m. on the date stated in the contract. For example, if the contract requires a Seller’s Disclosure Notice  (TXR 1406) to be delivered to the buyer within 10 days after the effective date, the deadline to do so would be 11:59 p.m. on the 10th day after the effective date. Similarly, if a lease expires on April 15, the tenant would have until 11:59 p.m. on April 15 to move out of the premises.  

However, since many title companies and other businesses close at 5 p.m., it may be in your client’s best interest to send payments for earnest money and the option fee—or any other notices that must be delivered to a title company or business—by 5 p.m.

Alternatively, a deadline that includes a time must be strictly followed. For example, the One to Four Family Residential Contract (Resale) (TXR 1601) requires a buyer to provide a termination notice under Paragraph 5 to the seller by 5 p.m. of the agreed-upon date in order to terminate the contract under that Paragraph.

—Traci Jackson, associate counsel

All times mentioned above are the local time where the property is located.

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