A buyer is purchasing a condominium unit in Texas. The condominium declaration requires that all sales must be approved by the condominium association's board. Under the TREC contract, this approval:
Correct Answer
D) Must be obtained as a condition of the sale, and the contract should address this requirement through appropriate addenda
If the condominium declaration requires board approval of sales, this must be addressed in the contract. The appropriate addenda should include provisions for obtaining board approval, including timeframes and consequences if approval is denied.
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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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