Under Paragraph 12 of the promulgated contract form, the contract states that if any expense exceeds an amount expressly stated in the contract for such expense to be paid by a party, which of the following is true?
1) That party may terminate the contract, regardless of whether the other party agrees to pay such excess
2) That party may terminate the contract, unless the other party agrees to pay such excess
3) That party may extend the time for closing up to 15 days
4) That party must pay the excess or be liable for breach of contract