56. A broker has listed a property for $225,000. An offer of $210,000 contingent upon inspection comes in the first week and the seller accepts it. Another offer of $205,000 comes in the second week. The seller accepts it as a secondary offer contingent upon the termination of the first offer. The first offeror demands the seller spend $5,000 in repairs before going through with the purchase. The seller may do any of the following EXCEPT
Answer: D
The seller may not ignore the demand and sell the property to the second offeror.
The seller cannot simply ignore the demand for repairs from the first offeror and proceed with the sale to the second offeror, as this would breach the terms of the first contract.
A) agree to do the needed repairs and consummate the transaction with the first offeror.
This option is valid as the seller can choose to meet the first offeror's demands by agreeing to perform the necessary repairs, thereby fulfilling the terms of the initial agreement and completing the sale.
B) refuse to do the repairs and still proceed with the sale in as is condition.
While the seller can refuse to make repairs, they cannot proceed with the sale to the second offeror if the first offeror's contract is still valid and contingent upon those repairs. Therefore, this option is not feasible under the conditions of the first agreement.
C) terminate the first agreement in writing and sell to the second offeror.
The seller has the right to terminate the first agreement in writing, allowing them to sell to the second offeror. This is a legitimate option as long as the seller follows proper procedures for termination.
D) ignore the demand and sell the property to the second offeror.
This option is incorrect because ignoring the first offeror's demand would violate the contract terms. The seller must address the first offeror's request before considering the sale to the second offeror.
Conclusion
The correct answer is D, as it highlights a breach of contract that cannot occur when a valid agreement is in place. Options A, B, and C reflect actions the seller can take regarding the first offeror, while option D presents an invalid course of action that disregards contractual obligations.