Contracts
In Louisiana, 'rescission' of a real estate contract returns both parties to their original positions by:
AModifying the contract terms to accommodate both parties
BCanceling the contract, returning any earnest money to the buyer and restoring the seller's right to the property✓ Correct
CSubstituting a new buyer for the original buyer
DTransferring the property at a reduced price
Explanation
Rescission undoes the contract and returns the parties to their pre-contract positions — the buyer receives back their earnest money and the seller retains the property. Rescission is different from cancellation (which may allow one party to keep the earnest money).
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