Contracts
In Delaware, what is 'consideration' for an option contract to be binding?
ANo consideration is needed; options are binding upon signing
BSome amount of consideration (money, services, or other value) must be given to the seller by the buyer to keep the option open✓ Correct
COnly nominal consideration ($1) is required by law
DConsideration must equal 1% of the property value
Explanation
An option contract requires consideration (payment) from the buyer (optionee) to the seller (optionor) to keep the option open. Without consideration, the option is merely an offer that can be revoked at any time.
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