Contracts

An Iowa seller counters a buyer's offer and gives the buyer 48 hours to respond. Before the 48 hours are up, the seller revokes the counter. Is the revocation valid?

ANo, because the seller gave 48 hours and must honor that
BYes, a counteroffer is an offer that may be revoked before acceptance and communication✓ Correct
CNo, because the buyer relied on the 48-hour window
DYes, but only with IREC approval

Explanation

An offer (or counteroffer) is generally revocable at any time before acceptance, unless the offeror received consideration to keep it open (option contract). The seller may revoke the counter before the buyer accepts.

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