Contracts
When an Iowa seller accepts a backup offer, this means:
AThe seller rejects the first offer and accepts only the second
BThe seller accepts an offer contingent on the first accepted offer not closing✓ Correct
CBoth offers are binding simultaneously
DThe seller is in violation of fair housing law
Explanation
A backup offer is accepted by the seller as a secondary contract that becomes the primary contract only if the first accepted offer fails to close. The backup buyer is legally committed but cannot close unless the first contract falls through.
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