Angela submits a written offer to purchase a condominium in Los Angeles for $475,000. The seller responds by changing the price to $490,000 and signing the modified document. Under California contract law, what has the seller created?
Correct Answer
A) A counteroffer that terminates Angela's original offer
Under California Civil Code §1585, an acceptance must be absolute and unqualified. When the seller changed the price, this constituted a counteroffer under California contract law, which simultaneously rejected and terminated Angela's original offer. Angela is now free to accept, reject, or counter the seller's counteroffer.
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