Contracts

In Colorado, a 'Mutual Release' form is used when:

AOnly the buyer terminates the contract
BBoth parties agree to terminate the contract and release each other from all obligations✓ Correct
COnly the seller terminates the contract
DThe broker withdraws from the transaction

Explanation

A Mutual Release is a Colorado Commission-approved form used when both parties mutually agree to terminate the contract and release each other from all further obligations. It also specifies how the earnest money is to be disbursed.

Related Colorado Contracts Questions

Practice More Colorado Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Colorado Quiz →