Contracts

In Louisiana, a 'back-up offer' is submitted while another contract is in effect. The back-up offer becomes effective when:

AThe buyer submits it
BThe first contract is terminated and the seller accepts the back-up offer✓ Correct
CThe back-up buyer obtains financing approval
D30 days after submission regardless of the first contract

Explanation

A back-up offer is contingent on the first contract falling through. It becomes effective if and when the first contract is terminated — at which point the seller may accept the back-up offer and a new binding contract is formed.

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