A buyer and seller sign a residential purchase contract in Hoboken, New Jersey on Friday. The following Monday is a federal holiday. Under the New Jersey attorney review period rules, when does the three-business-day attorney review period expire?
Correct Answer
D) Thursday at midnight, because the period begins the day after signing and both weekends and federal holidays are excluded
Under New Jersey's attorney review period, the three-business-day period begins the calendar day after all parties sign. Business days exclude Saturdays, Sundays, and legal holidays. Contract signed Friday → Day 1 would be Saturday (excluded, weekend) → Day 1 = Monday (excluded, federal holiday) → Day 1 = Tuesday → Day 2 = Wednesday → Day 3 = Thursday. The review period expires at midnight ending Thursday (i.e., Thursday at midnight). Option D correctly identifies Thursday midnight as the expiration.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
A financing contingency makes the purchase contract conditional upon the buyer obtaining mortgage approval within a specified time period. If the buyer cannot secure financing, they can cancel the contract and receive their earnest money back.
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