A seller receives two offers on the same day with identical terms except for closing dates. Under common law contract principles, what should the seller's agent advise?
Correct Answer
D) The seller can choose either offer, as no contract binds until acceptance
Under contract law, an offer creates no binding obligation on the seller until it is accepted. The seller is free to choose between competing offers and can accept whichever offer they prefer, regardless of the order received.
Why This Is the Correct Answer
Option D correctly states the fundamental contract law principle that no binding contract exists until acceptance occurs. Under common law, an offer is merely an invitation that can be accepted or rejected at the offeree's discretion. The seller has complete freedom to choose between competing offers based on their preferences, regardless of which offer arrived first. The timing of receipt creates no legal obligation or priority. This principle is consistently applied across Canadian jurisdictions and protects the seller's right to make the best decision for their circumstances.
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A seller receives two offers on the same day. The first offer is conditional on financing, and the second offer is firm but for a lower price. Which statement about the seller's options is correct?
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A seller receives two offers on the same property. The first offer is conditional on financing, and the second is unconditional but for a lower price. What is the seller's best legal option?