Agent Wallace represents a buyer purchasing a new construction home from a builder. The builder wants to use its own contract and addenda. Agent Wallace should:
Correct Answer
D) Accept the builder's contract only if it was prepared by the builder's attorney
If the builder's contract was prepared by the builder's attorney, it qualifies under the attorney-drafted exception to the mandatory use of TREC promulgated forms. Many builders use attorney-drafted contracts that are customized for new construction.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An assignment of contract transfers one party's rights and obligations under a contract to a third party called the assignee. The original party, known as the assignor, transfers their contractual position to someone who was not originally part of the agreement.
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.
More Promulgated Contract Forms Questions
In Texas, title insurance rates are:
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