In October 2026, Casey Young receives a counteroffer and asks what generally happens to the original offer. What is the most accurate answer under current Illinois rules?
Correct Answer
C) A counteroffer generally rejects the original offer and proposes new terms that must themselves be accepted.
A counteroffer is not simple acceptance; it replaces the prior proposal with a new one that requires acceptance.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A counteroffer is a response to an original offer that changes one or more terms of the offer, effectively rejecting the original offer and creating a new offer. The party who makes the counteroffer becomes the new offeror.
Earnest money is a deposit made by the buyer at the time of the offer or shortly after to demonstrate good faith and serious intent to purchase the property. It is also called a good faith deposit.
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.
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