All of the following describe events that terminate an offer EXCEPT
Correct Answer
C) The offeree's receipt of a second offer from another buyer
An offer ends when the offeror revokes it before acceptance, when the offeree rejects or counters it, when the time stated for acceptance runs out, or on the offeror's death or incapacity. A competing offer from a different buyer is none of those events. A seller may hold several offers at once and still accept the first one; only the seller's own rejection or counteroffer, or the lapse of the offer, ends the power to accept it.
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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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