In a Texas transaction, the buyer and seller disagree about whether the buyer properly terminated within the option period. The buyer claims the termination notice was sent on Day 10, but the seller says it was received on Day 11. Under the TREC contract, what determines whether the termination was timely?
Correct Answer
C) The date the notice was received by the seller or seller's agent
Under the TREC contract's notice provisions (Paragraph 21), the effectiveness of a notice depends on delivery. The notice must be delivered (received) within the option period timeframe to be effective.
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Related Topics & Key Terms
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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.
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