65. A seller places a property on the market for sale at a certain price. A buyer sees the property and makes a written offer to purchase that is 90% of the asking price. The seller rejects that offer, but will accept an offer of 95% of the original asking price. The buyer rejects that counteroffer. The original offer is
Answer: A
The original offer is rescinded.
When the seller rejects the buyer's initial offer, the original offer is considered rescinded, meaning it is no longer valid or in effect.
A) rescinded.
This option is correct because once the seller rejected the buyer's offer, that offer could not be accepted later. The act of rejection effectively nullifies the original offer, making it rescinded.
B) null and void.
While the terms "null and void" may seem similar to "rescinded," they are not completely interchangeable. An offer is null and void usually when it lacks essential elements or conditions for validity, not merely due to rejection. Thus, this option is incorrect in this context.
C) irrevocable.
An irrevocable offer means that the offeror cannot withdraw the offer for a specified period. However, since the seller actively rejected the buyer's offer, it is not irrevocable. Therefore, this option does not apply and is incorrect.
D) binding.
Binding refers to an agreement that is legally enforceable. Since the seller rejected the buyer's offer, it does not create a binding agreement. Thus, this option is also incorrect as the original offer is no longer valid.
Conclusion
The correct answer, "rescinded," accurately describes the status of the original offer after the seller's rejection. All other options fail to apply because they either misinterpret the nature of the rejection or do not accurately reflect the legal principles governing offers and acceptance in contract law.