Contracts
A Massachusetts seller accepts a buyer's offer and then immediately receives a better offer. The seller may accept the second offer only if:
AThe seller notifies the first buyer within 24 hours
BThe first buyer's offer included a 'backup offer' clause
CThe first contract is legally terminated—either by mutual agreement, breach, or failed contingency✓ Correct
DThe second offer is at least 5% higher
Explanation
Once a contract is formed with the first buyer, the seller cannot simply accept a second offer. The seller must legally terminate the first contract (through mutual agreement, buyer default, failed contingency, etc.
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