A seller in Chesapeake receives two simultaneous offers on his property. Offer A is for $410,000 with no contingencies. Offer B is for $420,000 contingent on financing. The seller's agent, without disclosing the existence of either offer to the other buyers, presents both offers to the seller. The seller accepts Offer A. Under Virginia license law, which statement about the agent's handling of multiple offers is most accurate?
Correct Answer
B) The agent acted properly by presenting both offers to the seller and letting the seller decide
Under Virginia license law and the VREB regulations (18 VAC 135-20), a listing agent has a duty to present all offers to the seller promptly. The agent fulfilled this duty by presenting both offers. The agent is not required to disclose the existence or terms of competing offers to the buyers — that information belongs to the seller. The seller has the right to choose which offer to accept based on his own judgment. The agent's conduct was proper.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
Contingencies are conditions written into a real estate contract that must be met before the transaction can close. If a contingency is not satisfied, the buyer can typically cancel the contract without penalty.
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