San Jose, CA asked in Real Estate Law for California

Q: In California Real Estate, Seller sent a counter offer signing original RPA without checking Counter offer checkbox.

In California Real Estate, Seller sent a counter offer along with signing CAR RPA without checking Counter offer checkbox in section 33(A) i.e. ACCEPTANCE OF OFFER section. Both RPA and Counter offer are attached in the same email. Since the CHECKBOX "Seller Counter Offer (C.A.R. Form SCO or SMCO)" is not checked, can the original RPA contract be considered as Binding agreement, though buyer did not sign the counter offer.

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James L. Arrasmith
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  • Sacramento, CA
  • Licensed in California

A: In California real estate transactions, the details of how an offer and counteroffer are communicated can be critical in determining the binding nature of an agreement. If the seller sent a counteroffer along with the signed California Association of Realtors (CAR) Residential Purchase Agreement (RPA) but failed to check the counteroffer checkbox in section 33(A), it creates a complex situation.

The key question is whether the signed RPA without a checked counteroffer box constitutes acceptance of the original offer. Generally, for a real estate contract to be binding, there must be a clear offer and acceptance. If the seller's intention was to make a counteroffer, but they mistakenly signed the original RPA without indicating this, it could be argued that they accepted the original offer.

However, the presence of an attached counteroffer complicates the matter. It suggests that the seller intended to negotiate terms different from the original RPA. This could be interpreted as a lack of clear acceptance of the original offer.

Given the ambiguity, it's advisable to seek clarity from the seller regarding their intentions. Miscommunication in real estate transactions can lead to disputes and legal challenges.

It's recommended to consult with an attorney to review the specifics of the transaction. They can provide guidance on the potential enforceability of the contract and the appropriate steps to take in light of the seller's actions.

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