ContractsIntermediateDelaware Exam

A buyer submits an offer on a Delaware property. Before the seller accepts, the buyer withdraws the offer. What is the result?

AThe buyer is liable for breach of contract
BThe buyer forfeits their earnest money
CNo contract is formed; the buyer may withdraw before acceptanceCorrect
DThe seller may sue for specific performance

Why No contract is formed; the buyer may withdraw before acceptance Is Correct

Answer C: No contract is formed; the buyer may withdraw before acceptance

An offer may be revoked by the offeror at any time before acceptance. Since no contract was formed (no acceptance), the buyer has no liability and may withdraw without penalty.

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.

Key Contracts Terms in This Question

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