Sales agent Chen is completing a TREC promulgated contract form for a residential transaction. The buyer wants to include a provision not addressed by the form or any addendum. What is the MOST appropriate action for Chen?
Correct Answer
B) Advise the buyer to consult an attorney to draft the additional provision
When a buyer wants a provision not covered by the promulgated form or any TREC addendum, the license holder should advise the buyer to consult an attorney. License holders cannot draft contract language, and the Special Provisions paragraph should only contain factual statements and business details, not complex legal provisions.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A purchase agreement is a legally binding contract between a buyer and seller that outlines the terms and conditions for the sale of real property. It is also commonly called a sales contract, purchase and sale agreement, or earnest money agreement.
Specific performance is a court-ordered remedy that compels the breaching party to fulfill their obligations under the contract rather than simply paying monetary damages. It is an equitable remedy used when monetary damages would be inadequate.
The Statute of Frauds is a legal requirement that certain types of contracts must be in writing and signed to be enforceable. In real estate, all contracts for the sale of land or interests in land must be in writing.
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Under TREC rules, a Texas license holder is permitted to use a non-promulgated contract form in all of the following situations EXCEPT:
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License holder Williams discovers that after executing the TREC One to Four Family Residential Contract, the buyer and seller want to change the closing date. Williams should advise the parties to: