Realtor® Legal Tip – Acceptance of an offer after the deadline expires.
June 18, 2019
Author: Curtis Bullock
Avoid potential litigation by following this simple legal tip.
Suppose the Buyer gives the Seller until June 18th at 5pm to accept the offer. On June 19th the Seller signs the REPC and checks the “Acceptance” box (i.e., 1 day late). A few weeks later a dispute arises between the Buyer and Seller. One of the arguments made by the Buyer is that there never was a valid contract to begin with because the Seller accepted the offer after the Time for Acceptance expired.
I recently read a case where this situation came up and as a result litigation is pending in the courts.
To avoid this kind of legal problem – Make sure your clients perform within the deadlines of the REPC. In this case – within the time given for acceptance of the offer. This simple legal concept can be applied to any situation in the REPC that is tied to a deadline (Due Diligence, F&A, Seller Disclosures, etc). Remember section 21 of the REPC which states “Time is of the Essence.” That essentially means the deadlines matter!
As a real estate professional don’t take these deadlines lightly and be as deliberate and thorough as you can.