After executing the TREC contract, the seller discovers that the property's legal description in the contract contains an error—the lot number is wrong. How should this error be corrected?
Correct Answer
B) A TREC Amendment must be executed by both parties correcting the legal description
An error in the legal description is a material issue that must be corrected through a TREC Amendment. Both parties must sign the amendment to ensure agreement on the correct property description.
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Related Topics & Key Terms
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Related Concepts
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.
A time is of the essence clause in a contract means that all deadlines and dates specified in the agreement are strictly enforceable, and failure to meet them constitutes a material breach.
An appraisal contingency allows the buyer to cancel or renegotiate the contract if the property's appraised value comes in lower than the agreed-upon purchase price. This contingency protects buyers from overpaying.
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