91. A property is listed for $219,900. An offer of $210,000 is submitted to the listing licensee. The offer includes a free-standing stove and refrigerator. The seller accepts the price and the refrigerator, but is not willing to leave the stove. The listing licensee makes the change in the contract to exclude the stove. The seller signs and initials the change. The listing licensee contacts the buyer's licensee by phone regarding the change. The buyers orally accept the change. Which of the following is true regarding this situation?
Answer: A
The original offer was rejected and the seller's counteroffer must be accepted in writing.
In this situation, the seller's decision to exclude the stove from the original offer constitutes a counteroffer. Therefore, the original offer is deemed rejected, and the buyer must accept the counteroffer in writing for it to be valid.
A) The original offer was rejected and the seller's counteroffer must be accepted in writing.
This option is correct because the seller's exclusion of the stove from the offer is a counteroffer, which requires the buyer's acceptance in writing. Oral acceptance of a counteroffer does not create a binding contract, as the law typically requires written agreements for such changes to be enforceable.
B) Neither the seller nor his licensee has a right to make any changes to the original offer.
This statement is incorrect because the seller has the right to counteroffer and make changes to the terms of the original offer. Specifically, the seller's decision to exclude the stove is a legitimate modification that can be made in response to an offer.
C) The offer has been signed and accepted by all parties and creates a valid contract.
This option is incorrect because, although the seller signed the change, the buyer's acceptance was only oral. A valid contract requires written acceptance of the counteroffer, and since this was not obtained, no binding agreement exists.
D) The buyer's licensee can sign the change regarding the stove on behalf of the buyer.
This option is incorrect as well. The buyer's licensee may not sign a counteroffer or any changes to the offer without explicit written authorization from the buyer. Thus, the signing of the change by the licensee does not establish a valid acceptance.
Conclusion
The correct answer is A, as it accurately reflects the legal requirements for acceptance of a counteroffer. The seller's alteration to exclude the stove constitutes a counteroffer that must be accepted in writing by the buyer to form a valid contract. All other options fail to recognize the necessity for written acceptance or misinterpret the rights of the parties involved.