Texas · TREC 50-0Texas notice of seller's termination (TREC 50-0)
A Texas seller ends a contract with TREC 50-0, the Notice of Seller's Termination of Contract. The most common ground is printed on it: the buyer did not deliver the earnest money within the time in Paragraph 5 – and the notice must go out before the buyer delivers it. Any other ground is written in by paragraph number. The notice is not an election of remedies, and the earnest money is released as the contract provides.
The grounds on the form
(1) Earnest money not delivered
The buyer failed to deliver the earnest money within the time required by Paragraph 5 and before the seller gave this notice. Under ¶5 of 20-19, the seller may terminate or use its default remedies by notice before the buyer delivers.
(2) Other
Any other paragraph of the contract or an addendum that lets the seller terminate – for example the seller's credit approval in the seller financing or loan assumption addendum.
Not an election of remedies
Sending the notice does not, by itself, choose between the seller's remedies.
Earnest money
Release of the earnest money is governed by the contract – the escrow agent follows ¶18, not the notice.
What the TC tracks
- The earnest money deadline – 3 days after the Effective Date in 20-19, extended if it falls on a weekend or legal holiday.
- Whether the buyer delivered before the seller's notice – late delivery before the notice cures the seller's right under ground (1).
- Delivery of the notice under ¶21 – to the buyer or the buyer's agent.
- The escrow release steps after termination.
- The form says to consult an attorney before signing – TCs and agents do not give legal advice.
Questions about the Texas seller termination notice
Which TREC form does a seller use to terminate?
The Notice of Seller's Termination of Contract, TREC No. 50-0.
Can a Texas seller terminate if the earnest money is late?
Yes, by notice given before the buyer delivers the earnest money; once the buyer delivers, that ground is no longer available.
Does the seller keep the earnest money after terminating?
Not automatically. The release of earnest money is governed by the contract's escrow and default paragraphs.
What does “not an election of remedies” mean?
That the notice does not by itself decide which remedy the seller pursues.
Is there a TREC form for the buyer's termination?
Yes, the Notice of Buyer's Termination of Contract, TREC 38-8.
Texas forms
ClosingCode reminds the team before the earnest money deadline – so a late deposit is caught before it becomes a termination notice.
Start free trialSources: Texas Real Estate Commission, TREC No. 50-0 Notice of Seller's Termination of Contract (8-13-18); TREC No. 20-19, ¶5, ¶18, ¶21.
General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage, and it is not affiliated with TREC.