Contracts

In New York, when a seller accepts an offer 'subject to board approval' on a co-op, the contract is:

ABinding on both parties immediately
BConditional — the sale cannot proceed if the co-op board rejects the buyer✓ Correct
CVoid unless the board approval is given within 24 hours
DOnly valid if the co-op bylaws permit sales

Explanation

In a New York co-op transaction, the contract is typically contingent on approval by the co-op board. If the board rejects the buyer, the contract is terminated and the buyer's deposit is returned.

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