Contracts

In NJ, what happens to the attorney review period if one party's attorney sends a disapproval letter within the 3-day period?

AThe contract is automatically renewed
BThe contract is voided unless the parties re-negotiate and both agree to a modified agreement✓ Correct
COnly the disapproving party's obligations are cancelled
DThe NJREC must approve any new contract

Explanation

If an attorney sends a timely disapproval letter during the 3-day review period, the contract is voided. The parties are free to renegotiate and enter a new agreement, but neither party is bound by the original contract.

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