time as of the essence of contract Ordinarily in a contract for the sale of immovable property, the time fixed for completion of the transaction is not considered to be of the essence of the contract. In such a contract, the presumption is that, although a specific time is mentioned within which completion is to take place, the parties really and in substance did intend that it should take place within a reasonable time. In an agreement for reconveyance, time is of the essence of the contract. The general rule is that in a mercantile contract, time is of the essence of contract.