All of the following describe events that terminate an offer EXCEPT
Correct Answer
C) The offeror's earnest money check clearing the bank
A check clearing is a banking function, not an event that terminates an offer. Revocation, counteroffer, and lapse all end the offeree's power to accept.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
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.
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