A buyer submits an offer on a Florida property with an earnest money deposit of $5,000. The seller counteroffers with different terms. Under Florida law, what happens to the original offer?
Correct Answer
B) The counteroffer automatically rejects the original offer
Correct: B - Under Florida contract law, a counteroffer operates as a rejection of the original offer and creates a new offer. Why not A: The original offer is terminated by the counteroffer. Why not C: Only one offer can be valid at a time between the same parties. Why not D: There is no automatic conversion to backup status.
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A Florida real estate purchase contract includes a financing contingency requiring loan approval within 30 days. On day 28, the buyer hasn't received approval but hasn't notified the seller. What is the buyer's status?