A buyer makes an offer on a South Dakota property. Before the seller accepts, the buyer decides to withdraw. This is an example of:
Correct Answer
B) Revocation of offer
An offer can be revoked (withdrawn) at any time before acceptance. Since the seller had not yet accepted, no contract was formed, and the buyer is free to revoke without liability.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
Equitable title is the buyer's interest in a property after a purchase contract is signed but before closing, giving the buyer the right to acquire legal title in the future. The seller retains legal title until the deed is delivered at closing.
A financing contingency makes the purchase contract conditional upon the buyer obtaining mortgage approval within a specified time period. If the buyer cannot secure financing, they can cancel the contract and receive their earnest money back.
An inspection contingency gives the buyer the right to have the property professionally inspected within a specified time frame and to negotiate repairs or cancel the contract based on the findings.
More Contracts Questions
Which of the following is required for a valid contract in California?
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After a residential purchase contract has been signed by both parties in Illinois, the buyer and seller verbally agree to change the closing date. What is the legally sound way to document this change?
Specific performance in North Dakota:
- → In a contract for deed (land contract), who retains legal title to the property until the purchase price is fully paid?
- → Which of the following is NOT required for a valid bill of sale?
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- → Sawyer Iverson is reviewing an Illinois issue in Joliet. The person assumes that attorney review automatically replaces every inspection, appraisal, or financing deadline in a standard Illinois residential contract. Which statement best applies?
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- → Avery Jenkins is reviewing an Illinois issue in Normal. The person asks what happens if neither attorney sends a disapproval or proposed change during the standard review period. Which statement best applies?
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- → Johnny wants the seller's patio furniture included in his purchase of a house. Before the offer is signed and delivered to the seller, he asks his agent to attach a page covering the furniture to the offer. That attached page is best described as:
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- → A contract where one party uses threats to force the other party to sign is considered:
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Previous Question
A buyer in Utah submits an offer that includes a financing contingency. During the due diligence period, the buyer is unable to obtain mortgage approval. Under the Utah REPC, what is the buyer's remedy?
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A buyer submits an offer on a Kentucky property. Before the seller responds, the buyer decides to withdraw. This is an example of: