Contracts

A Florida buyer makes an offer on a home. The seller responds with a counteroffer changing the price. The buyer then verbally accepts the counteroffer. At this point:

AA binding contract has been formed since both parties agreed
BNo binding contract exists because real estate contracts must be in writing to be enforceable✓ Correct
CThe buyer has 3 days to formalize the verbal acceptance in writing
DThe seller must deliver a formal acceptance before the contract is valid

Explanation

Under the Statute of Frauds (adopted in Florida), contracts for the sale of real property must be in writing and signed by the parties to be enforceable. A verbal acceptance of a counteroffer does not create an enforceable contract for real estate.

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