ContractsIntermediateDelaware Exam

What is a 'counter-offer' in Delaware real estate negotiations?

AAn offer made by the seller's agent to the buyer's agent without the seller's knowledge
BA new offer made by the offeree that changes one or more material terms of the original offer, which legally rejects the original offerCorrect
CA formal response by the seller accepting all terms of the buyer's offer
DAn addendum that adds additional contingencies to an accepted contract

Why A new offer made by the offeree that changes one or more material terms of the original offer, which legally rejects the original offer Is Correct

Answer B: A new offer made by the offeree that changes one or more material terms of the original offer, which legally rejects the original offer

A counter-offer is a new offer from the original offeree (usually the seller) that changes one or more material terms (price, closing date, contingencies). A counter-offer legally rejects the original offer — the original offeror is no longer bound by it.

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.

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