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Mandated DisclosuresBuyer_rescission_rights_three_business_daysMEDIUM

Kevin is representing a seller in a residential transaction in Tacoma. The buyer receives Form 17 on Thursday. The following Monday, the buyer's broker calls Kevin to say the buyer wants to rescind the agreement. Kevin tells the seller that the buyer's rescission is untimely because more than three days have passed since the buyer received Form 17. Is Kevin's advice correct under Washington law?

Correct Answer

C) No, because the three-business-day period excludes weekends, making Monday the last valid day to rescind.

Under RCW 64.06.013, the rescission period is three business days. Receiving Form 17 on Thursday means the three business days are Friday (Day 1), the following Monday (Day 2), and Tuesday (Day 3) — weekends are excluded. Therefore, Monday is actually Day 2, and the buyer's rescission notice on Monday is still timely. Kevin's advice that the rescission is untimely is incorrect.

Answer Options
A
Yes, because three calendar days have passed since Thursday, making the rescission deadline Sunday.
B
Yes, because the buyer should have rescinded by Saturday to meet the three-day deadline.
C
No, because the three-business-day period excludes weekends, making Monday the last valid day to rescind.
D
No, because the buyer has five business days to rescind and the deadline has not yet passed.

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Related Topics & Key Terms

Key Terms:

seller_disclosureform_17rescission_rightsbusiness_daystimelinebroker_advicercw_64_06
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