Contracts

A Kentucky buyer's offer expires at noon on Friday. The seller signs and returns the accepted offer at 2 p.m. on Friday. This creates:

AA binding contract since the seller accepted before the end of business
BA counteroffer that the buyer must now accept
CNo contract; the original offer expired✓ Correct
DA voidable contract at the buyer's option

Explanation

An offer that specifies a time for acceptance must be accepted before that time or it expires. An attempted acceptance after the stated deadline is legally a new offer (counteroffer), not acceptance of the original expired offer.

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