An Ohio purchase agreement for a lakefront property in Ottawa County includes a contingency for a satisfactory dock permit review. The buyer's agent discovers that the dock does not have a valid Ohio Department of Natural Resources (ODNR) permit. Under the contingency, what is the buyer's recourse?
Correct Answer
B) Require the seller to obtain the ODNR permit, negotiate a price reduction, or terminate the contract
Under the dock permit contingency, the buyer can require the seller to obtain the proper ODNR permit, negotiate a price reduction to account for the permit cost and risk, or terminate the contract. The contingency gives the buyer leverage to address the permit deficiency.
Why This Is the Correct Answer
Why the Other Options Are Wrong
Deep Analysis of This Oh Specific Contracts Forms Question
Background Knowledge for Oh Specific Contracts Forms
Real World Application in Oh Specific Contracts Forms
Common Mistakes to Avoid on Oh Specific Contracts Forms Questions
Related Topics & Key Terms
Key Terms:
Related Concepts
A bilateral contract is an agreement in which both parties exchange promises and are both obligated to perform, while a unilateral contract is one in which only one party makes a promise and the other party is not obligated to act.
A breach of contract occurs when one party fails to perform their obligations under the contract without a legal excuse. The non-breaching party is entitled to legal remedies including damages, specific performance, or contract rescission.
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
More Oh Specific Contracts Forms Questions
Jack, an Ohio buyer, has a purchase agreement with an inspection contingency. The home inspector discovers that the home has knob-and-tube wiring in the attic, which is still functioning. Jack's insurance company informs him that they will not insure the property unless the wiring is replaced. Under Ohio practice, what is Jack's best option?
Peter, an Ohio buyer, asks his agent about the difference between actual damages and liquidated damages. Under Ohio law, which statement correctly distinguishes the two?
Frank, an Ohio buyer, discovers that the seller's listing agent provided false information about the property's zoning. Frank suffered financial losses as a result. Under Ohio law, can Frank file a claim with the Ohio Real Estate Recovery Fund?
Lucy, an Ohio buyer, asks her agent about the statute of limitations for breach of a written real estate purchase agreement. Under Ohio law, how long does the buyer have to file a breach of contract lawsuit?
Megan, a first-time Ohio buyer, asks her agent what 'specific performance' means as a remedy for breach of contract. Under Ohio law, which description is correct?
- → Grace, a buyer in Ohio, wants to know the difference between rescission and breach of contract. Under Ohio law, what is rescission?
- → Allen, an Ohio buyer, believes the seller's agent made negligent misrepresentations about the property's condition during the sale. Under Ohio law, who may Allen pursue for damages?
- → Oliver, an Ohio buyer, wants to understand the concept of 'mutual rescission' in the context of his purchase agreement. Under Ohio law, what is mutual rescission?
- → Richard, an Ohio seller, breaches a purchase agreement. The buyer decides not to pursue the property but wants monetary compensation for expenses and losses. Under Ohio law, what type of remedy is the buyer seeking?
- → Tom, an Ohio buyer, refuses to close on a property after all contingencies have been satisfied and all deadlines have passed. Under Ohio contract law, what type of action has Tom committed?
- → Kevin, an Ohio buyer, discovers after closing that the seller fraudulently concealed a major foundation defect on the Residential Property Disclosure Form. Under Ohio law, what remedy can Kevin pursue?
- → Martha, an Ohio seller, provides a warranty deed to the buyer at closing. After closing, the buyer discovers an existing lien that was not disclosed. Under Ohio deed warranty law, what remedy does the buyer have?
- → Keith, an Ohio buyer, defaults on a purchase agreement. The seller does not have a liquidated damages clause in the contract. Under Ohio law, what must the seller prove to recover damages?
- → Jill, an Ohio buyer, wants to know whether punitive damages are available in a breach of contract case. Under Ohio law, which statement is correct?
- → Eva, an Ohio buyer, sues the seller for breach of the purchase agreement and wins a judgment of $25,000. The seller refuses to pay. Under Ohio law, what enforcement options does Eva have?
People Also Study
Buyer Representation Agreement
8% of exam
Property Ownership
10% of exam
Land Use Controls and Regulations
8% of exam
Valuation and Market Analysis
10% of exam
Previous Question
Craig, a buyer in Ohio, has a purchase agreement with a contingency for the property to pass a municipal point-of-sale inspection. The inspection reveals a missing smoke detector in one bedroom. Under Ohio practice, who is responsible for installing the smoke detector before closing?
Next Question
Emma, an Ohio buyer, has a purchase agreement with a 21-day financing contingency. On day 18, her lender informs her that the loan will be approved but final closing documents will not be ready until 5 days after the originally scheduled closing date. Under Ohio practice, what should Emma's agent do?