Question

If, upon the receipt of an offer to purchase a property, the seller makes a counteroffer, the prospective buyer is:

A. relieved of the original offer, which is terminated
B. relieved of the offer which is now void
C. bound to accept the counteroffer
D. bound by the original offer, which is still active

Answer 1

Upon receiving a counteroffer, a prospective buyer is no longer bound by the original offer as it is terminated. The buyer is relieved of the original offer and is not obligated to accept the counteroffer.

Step-by-step explanation:

When a seller makes a counteroffer in response to an offer to purchase a property, this action has specific legal implications. If tates the initial offer.

Consequently, the correct answer to the question is: A. relieved of the original offer, which is terminatedWhen a seller makes a counteroffer in response to a buyer's offer to purchase a property, the original offer is typically terminated and no longer valid.

The counteroffer essentially acts as a new offer, and the prospective buyer is not obligated to accept it. Instead, they have the option to accept the counteroffer, make a further counteroffer, or reject the counteroffer and walk away from the transaction.