Contracts
A buyer makes an offer, and the seller responds by changing one term of the offer. The buyer then accepts the seller's changed term. Which of the following best describes the binding contract?
AThe original offer is the binding contract
BThe seller's modified response became the binding offer, which the buyer accepted✓ Correct
CThere is no contract because the seller changed terms
DThe contract is voidable because of the counteroffer
Explanation
The seller's response with changed terms was a counteroffer (rejecting the original offer). When the buyer accepted the counteroffer without further changes, a binding contract was formed on the seller's revised terms.
Related New York Contracts Questions
- An exclusive right to sell listing agreement means:
- A New York real estate purchase contract contains an 'inspection contingency.' If a home inspector discovers a defective roof, the buyer's typical options under this contingency are:
- Under New York law, 'mutual mistake' as a basis for rescinding a real estate contract requires that:
- In New York, a seller who receives two simultaneous offers on their property may:
- In New York, a buyer's deposit is 'at risk' (may be forfeited) if the buyer defaults on a real estate contract because:
- In New York, the 'doctrine of part performance' may allow enforcement of an oral real estate contract when:
- In New York, an 'escalation clause' in a purchase offer means the buyer is willing to:
- In New York, a real estate contract that requires the buyer to purchase 'subject to a satisfactory home inspection' gives the buyer the right to:
Practice More New York Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New York Quiz →