A Texas sales agent is working in a transaction where the buyer's lender requires a specific addendum not included in the TREC promulgated addenda. The lender's addendum was prepared by the lender's legal department. May the sales agent use the lender's addendum?
Correct Answer
C) Yes, because the lender's addendum prepared by its legal department qualifies as attorney-drafted
A lender's addendum prepared by its legal department qualifies under the attorney-drafted exception. When a party to the transaction (or a required third party like a lender) requires the use of a document prepared by its attorneys, the license holder may use it alongside the TREC promulgated contract.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Offer and acceptance is the process by which one party proposes specific terms for a contract and the other party agrees to those exact terms, creating mutual assent. This mutual agreement, also called a meeting of the minds, is an essential element of every valid contract.
An option contract gives one party the exclusive right, but not the obligation, to purchase or lease a property at a specified price within a specified time period. The buyer pays option consideration to keep the option open.
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.
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All of the following are valid exceptions to the mandatory use of TREC promulgated contract forms EXCEPT:
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