ContractsIntermediateAlaska Exam

A seller accepts an offer and then receives a higher offer the next day. The seller wishes to accept the new offer instead. The seller may:

AAccept the higher offer because it is in the seller's financial interest
BAccept the higher offer if they notify the first buyer within 24 hours
CNot accept the higher offer without breaching the first contractCorrect
DAccept the higher offer if the first buyer's financing is not yet approved

Why Not accept the higher offer without breaching the first contract Is Correct

Answer C: Not accept the higher offer without breaching the first contract

Once a seller accepts an offer and a binding purchase contract is formed, the seller cannot accept a competing offer without breaching the first contract. The seller could use a backup offer clause to keep the second offer contingent on the first falling through, but accepting both creates contractual conflicts.

Exam Tip: Contracts

Contract questions frequently test the essential elements required for a valid contract. Remember: competent parties, mutual consent, lawful object, and sufficient consideration. Watch for void vs. voidable distinctions.

People Also Study

Practice More Alaska Real Estate Questions

1,400+ questions covering all exam topics. Start free — no signup required.

Take the Free Alaska Quiz →