A Massachusetts Purchase and Sale Agreement typically contains several standard provisions. Which of the following is NOT typically a standard provision found in a Massachusetts residential Purchase and Sale Agreement?
Correct Answer
C) A mandatory arbitration clause required by the Massachusetts Board of Registration
The Massachusetts Board of Registration of Real Estate Brokers and Salespersons (BORREBS) does not require a mandatory arbitration clause in residential Purchase and Sale Agreements. Arbitration clauses may be included by agreement of the parties, but they are not a standard mandatory provision imposed by BORREBS or Massachusetts law. This is not a typical standard provision of a Massachusetts P&S.
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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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