32. 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 original offer of $210,000 was effectively rejected by the seller when they chose to exclude the stove from the agreement. This action constitutes a counteroffer that must be accepted in writing by the buyer to form a valid contract.
A) The original offer was rejected and the seller's counteroffer must be accepted in writing.
This option is correct as the seller's decision to exclude the stove changes the terms of the original offer, thereby rejecting it. The buyer must formally accept this new set of terms in writing for a valid contract to exist.
B) Neither the seller nor his licensee has a right to make any changes to the original offer.
This option is incorrect because the seller has the right to negotiate the terms of the offer, including making changes. The seller's licensee acted within their authority by modifying the contract to reflect the seller's wishes.
C) The offer has been signed and accepted by all parties and creates a valid contract.
This option is incorrect because the acceptance of the counteroffer (excluding the stove) was not formalized in writing by the buyer. Without this written acceptance, there is no valid contract.
D) The buyer's licensee can sign the change regarding the stove on behalf of the buyer.
This option is incorrect because the buyer must provide their own written acceptance of the changes. The buyer's licensee cannot unilaterally sign on behalf of the buyer without explicit authorization.
Conclusion
The correct answer is A, as it clearly outlines the legal implications of the seller's actions in rejecting the original offer and making a counteroffer. All other options fail to recognize the necessity of a written acceptance to solidify a binding agreement following the changes made by the seller.