Question and Answer Regarding Counter-Offer

Question: I represent buyers in a transaction. They wrote an offer to purchase a property. The sellers issued a counter-offer. The buyers signed the counter-offer and returned it to the sellers within the time frame permitted. The sellers now want to renegotiate the deal and the listing agent claims that they can do so, because the counter-offer was not acknowledged. Is there a binding contract?

Answer: Yes. There is a binding contract. An acknowledgment is a professional courtesy, but not a condition of forming a contract.

-Shannon B. Jones, Partner, sbj@sbj-law.com

Danville Office

208 W. El Pintado Road

Danville, CA 94526

Tel: 925.837.2317

San Jose Office

111 North Market Street, Suite 300

San Jose, CA 95113

Tel: 408.363.3635

Sacramento Office

8880 Cal Center Drive, Suite 400

Sacramento, CA 95825

Tel: 916.368.1000