A buyer and seller are using the GAR Purchase and Sale Agreement. The buyer adds a special stipulation requiring the seller to provide a home warranty, but the pre-printed contract language states 'seller makes no warranties.' Which provision takes precedence under Georgia law?
Correct Answer
A) The special stipulation takes precedence over pre-printed language
Correct: A - The special stipulation takes precedence over pre-printed language. Under Georgia contract interpretation rules, special stipulations and handwritten provisions take precedence over pre-printed or typed language when there is a conflict. Why not B: This option is incorrect because "Both provisions cancel each other out" does not match the rule tested by the question. The correct answer is "The special stipulation takes precedence over pre-printed language". Under Georgia contract interpretation rules, special stipulations and handwritten provisions take precedence over pre-printed or typed language when there is a conflict. Why not C: This option is incorrect because "The provision most favorable to the buyer applies" does not match the rule tested by the question. The correct answer is "The special stipulation takes precedence over pre-printed language". Under Georgia contract interpretation rules, special stipulations and handwritten provisions take precedence over pre-printed or typed language when there is a conflict. Why not D: This option is incorrect because "The pre-printed warranty disclaimer takes precedence" does not match the rule tested by the question. The correct answer is "The special stipulation takes precedence over pre-printed language". Under Georgia contract interpretation rules, special stipulations and handwritten provisions take precedence over pre-printed or typed language when there is a conflict.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A purchase agreement is a legally binding contract between a buyer and seller that outlines the terms and conditions for the sale of real property. It is also commonly called a sales contract, purchase and sale agreement, or earnest money agreement.
Specific performance is a court-ordered remedy that compels the breaching party to fulfill their obligations under the contract rather than simply paying monetary damages. It is an equitable remedy used when monetary damages would be inadequate.
The Statute of Frauds is a legal requirement that certain types of contracts must be in writing and signed to be enforceable. In real estate, all contracts for the sale of land or interests in land must be in writing.
More Ga Contracts Gar Forms Questions
A licensee is reviewing office compliance policies regarding the use of GAR forms in Georgia transactions. Which statement about GAR forms is NOT correct?
Which statement most accurately describes the legal status of GAR (Georgia Association of REALTORS®) forms in Georgia real estate practice?
Broker Tom's firm has a GAR membership, and he wants to modify the standard GAR Purchase and Sale Agreement by adding a custom clause about pool maintenance responsibilities. Under GAR form usage rules, what is the appropriate action?
A Georgia buyer's agent is reviewing a purchase contract to determine what remedies are available if the seller defaults. The contract includes an earnest money provision and an attorney-fee clause. Which statement best describes how remedy provisions work in Georgia residential contracts?
A special stipulation requires the seller to 'provide documentation that the septic system has been inspected within the last 2 years.' The seller provides a 25-month-old inspection report. Does this satisfy the requirement?
- → Under Georgia contract law and GAR form provisions, which statement most accurately describes how earnest money disposition is determined when a transaction fails to close?
- → A buyer wants to add a special stipulation to a GAR Purchase and Sale Agreement requiring the seller to leave the kitchen refrigerator, which is not addressed elsewhere in the contract. How is this special stipulation made binding on both parties under GAR form procedures?
- → A buyer and seller executed a GAR Purchase and Sale Agreement with a special stipulation stating: 'Buyer may terminate this contract if unable to obtain financing at 6% or less.' The buyer was offered financing at 6.25% but did not terminate the contract. Instead, the buyer accepted the 6.25% financing, completed the appraisal, scheduled movers, and continued performing under the contract for several weeks. Two days before closing, the buyer now attempts to terminate citing the financing stipulation. What is the most likely legal outcome?
- → A non-REALTOR® licensee asks whether the fact that GAR forms require membership access proves they are state-mandated documents. Which statement best reflects the correct understanding of GAR forms under Georgia law?
- → Under Georgia contract law and GAR form requirements, which statement about contract amendments is NOT correct?
- → New agent Carlos just obtained his Georgia real estate license and is working for a brokerage that is a GAR member. Regarding his use of GAR forms, which statement is most accurate?
- → A seller breaches a purchase and sale agreement for a $300,000 home. The buyer deposited $8,000 in earnest money and spent $3,500 on inspections and an appraisal. The property's current market value is $320,000. If the buyer elects to sue for benefit-of-the-bargain damages under Georgia law, what is the most the buyer could recover in damages (excluding the return of earnest money)?
- → Agent Sarah is representing a buyer and wants to use the GAR Purchase and Sale Agreement form. She downloaded a version from a real estate website that claims to be the 'latest GAR form.' Under Georgia law, what is the primary concern with this practice?
- → A newly licensed agent in Georgia asks her broker whether the state requires all real estate transactions to use GAR (Georgia Association of REALTORS®) forms. Which statement most accurately describes the legal status of GAR forms in Georgia?
- → Broker Smith's trust account contains earnest money from multiple transactions. One buyer's earnest money check bounces after deposit, but before anyone is notified, Broker Smith uses funds from other transactions in the same account to cover a different earnest money release. This practice is:
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Previous Question
Under Georgia contract law and GAR form provisions, which statement accurately describes how modifications to a real estate contract should be handled?
Next Question
In a GAR contract, the closing date is typed as 'June 15, 2026,' but a special stipulation states 'Closing must occur no later than June 30, 2026, time is of the essence.' The seller fails to close by June 15 but is ready on June 20. What is the legal status?