Contracts

Under Nevada law, what is the effect of a buyer submitting a counteroffer to the seller's counteroffer?

AThe original offer is reinstated automatically
BThe buyer's counteroffer voids all prior offers and counteroffers, and the seller is free to accept or reject the new terms✓ Correct
CThe seller must respond within 24 hours or the original offer stands
DBoth parties are bound to mediation before further negotiation

Explanation

Each counteroffer in Nevada constitutes a rejection of the prior offer and creates a new offer. When the buyer counters the seller's counteroffer, all previous terms are extinguished. The seller is free to accept, reject, or counter the buyer's new proposal. Neither party is bound until written acceptance is communicated.

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