Contracts
Under Massachusetts law, 'rescission' of a real estate contract means:
AThe parties modify the contract terms
BThe contract is cancelled and the parties are restored to their original positions✓ Correct
COne party sues the other for damages
DThe contract is assigned to a new party
Explanation
Rescission cancels the contract and attempts to restore both parties to their pre-contract positions—funds returned, obligations discharged. It is different from cancellation with damages or specific performance.
Related Massachusetts Contracts Questions
- A buyer in Massachusetts includes a home inspection contingency in the Offer to Purchase. The home inspector finds significant foundation issues. The buyer may:
- Under Massachusetts real estate practice, a 'brokerage cooperation agreement' between two competing firms is used to:
- In Massachusetts, the seller's right to retain the buyer's deposit as liquidated damages is:
- A Massachusetts purchase agreement contains a contingency requiring the buyer to obtain financing at 'prevailing market rates.' This contingency is most likely:
- An option contract in Massachusetts gives the optionee the:
- A Massachusetts buyer in a P&S with a 'subject to mortgage' contingency cannot obtain financing. The seller asks to keep the deposit. The buyer can recover the deposit if:
- A real estate contract that lacks a legal purpose is:
- A Massachusetts seller sends a counteroffer to the buyer. Before the buyer responds, the seller wants to revoke the counteroffer. The seller can revoke because:
Practice More Massachusetts Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Massachusetts Quiz →