Voluntary expression by the offeree to be bound by the exact terms of the offer. Must be unconditional.
The method or manner by which a right or contract is transferred from one person to another.
A contract in which both parties have reciprocal obligations toward each other.
An agreement to cover a down payment for the purchase of real estate as evidence of good faith on the part of the purchaser; shows the receipt of a deposit and outlines the basic terms of the transaction.
Breach of Contract
Violation of any of the terms or conditions of a contract; default; non-performance.
The time when a transaction is consummated, or the actual signing over the documents and delivery of the deed; the time after the signing when the documents are recorded.
The amount of money actualy lost; the amount that will be awrded by a court in the event of default
Those who are qualified or mentally competent to enter into a contract.
Valuable consideration, a promise or an act of legal value bargained for an received in return for a promise; good consideration, love and affection.
A condition in a contract which could void it or otherwise change its terms if not met.
Possession of the following: (a) Of legal age (b) Sane (c) Sober
A new offer made in response to an earlier offer. Rejects original offer.
The indemnity recoverable by an injured party as compensation for the loss suffered through the act or default of another.
Failure to meet a promise or obligation when due.
Money given by one to another as evidence of good faith; evidence or security for performance of a contract.
A contract drawn for an illgal purpose. For example, where a buyer and seller enter into a second contract with different terms than those on the original contract to benefit fraudulently from the arrangement.
Unlawful constraint or action against a person forcing him to perform some act against his will.
Initial payment by a purchaser of real estate as evidence of good faith.
A contract that is fully signed or performed.
A contract not yet fully performed.
An amount predetermined by the parties to an agreement that will be forfeited as compensation for breach of contract.
Title free and clear of objectionable liens or ecumbrances; title which is free from reasonable doubts or defects which can be readily sold or mortgaged.
Meeting of the Minds
A condition that must exist for the formation of a valid contract.
A promise by one party to act in a certain manner requested, In a real estate sakes contract, the offer to purchase realty according to stipulated terms and conditions.
A right given for consideration to purchase or lease a property upon specified terms within a specified time.
The one obtaining the option right.
the on granting the option to another.
Parol Evidence Rule
A rule of Law that specifies that oral or parol evidence may not be introduced in court to contradict what has already been stated in writing, unless such statements are intended to show that a fraud has been perpetrated, that a mistake was made, or to clarify what was meant by the words contained in a contract.
Termination of an original offer by way of proposing a counteroffer.
The annulling , revocation or repealing of a contract by mutual consent of the parties, or for cause by either party to the contract, and returning the parties to their original position (the "satus quo").
The right of the Real Estate Commission to deactivate a broker or salesperson license for wrong doing. The time period lasts for at least all of the remaining license term.
Addendum to cover supplemental changes to an agreement.
A remedy whcih the court will grant in certain cases, compelling the defendant to perform or carry out the terms of a valid, existing agreement or contract.
Statute of Frauds
State law which requires among other things, that certain contracts relating to real estate must be in writing to be enforceabkle at law.
Statute of Limitations
Laws setting forth the period of time in which suit can be brought forth for a particular act.
(In NJ real estate dealings: 6 years).
Time of the Essence
In a contract, a requirement of punctual performance.
A contract status in which the contract is not enforceable by court action for some reason.
A contract whereby only one party is obligated to perform his obligation to another.
A contract that is binding, is legally sufficient and authorized by law.
A contract that has no effect legally, with the parties in the same position they would have been in if no contract existed at all.
A contract which is capable of being adjudged void, but is not void unless action is taken to make it so. Able to be made void.