FAQ – “We received an offer on my listing and countered it, leaving it open until midnight. The buyer’s agent was not able to get the counter-offer signed by the buyer till the next morning, but before midnight they texted me telling me that the buyer had (verbally) accepted the counter-offer. In the morning he sent me the accepted counter-offer with the time for acceptance changed till noon and initialed by the buyer. They asked for my seller to initial the change as well. Is this OK?”
In this video Steve Jamieson, Managing Broker of RE/MAX Crest Realty Westside, explains if an offer can be revived if the time for acceptance has passed.
Here’s a brief summary:
In a word, NO. At midnight, the deal died. You do not have a legally enforceable contract.
If the seller or the buyer wants to get out of the contract at any point up to the completion date, their lawyer will look for ways to make that happen. If they see that a contract was revived, then that will be the way out at law.
Refer to your Professional Standards Manual:
4. General Information
(a) Contract Clauses
(v) Revival of an Expired Contract
[01/16/2011 The following information added to Professional Standards Manual]
Some licensees attempt to revive an expired contract by having the buyer and seller sign the subject removal addendum after the time for the removal of the subject clause has expired or by having the parties sign an addendum attempting to revive the expired contract.
An expired contract cannot be revived. Licensees should draft a new Contract of Purchase and Sale for the parties to sign or have them sign an extension addendum before the contract expires.
Please note: The Frequently Asked Question video series is used for training purposes within our group of RE/MAX offices. If you are licensed at a different brokerage, you must refer to your own Managing Broker for advice.