Sales Contract Notices Quiz

A clause in a contract that specifies the requirements and methods for sending and receiving notices between parties.

A notice needs to be in writing, legible, and signed by the sender. The sender must prove delivery if disputed.

Notices can be delivered in-person, by courier, overnight delivery service, certified or registered mail, email, or fax.

Delivery is considered complete when the recipient physically receives the notice, the delivery service delivers it to their address, or the email/fax is transmitted with a timestamp.

A common clause in contracts that emphasizes prompt action and compliance with deadlines. It means that if a deadline is missed, it can have serious consequences.

A condition or event that must be fulfilled in order for a contract to be finalized or for a specific obligation to be triggered. It often makes the contract 'subject to' the occurrence of that contingency.

A phrase used in contracts to indicate that one or more aspects of the agreement are dependent on the successful fulfillment of specific conditions.

Pennsylvania's version of the Uniform Electronic Transactions Act, passed in 1999, which allows electronic records and signatures to meet legal requirements in e-commerce transactions.

A clause in a sales contract that clarifies that a broker or associated license holder can't bind any party to the contract or its terms. Only the actual parties to the contract can create binding agreements.

A clause in a sales contract that addresses the legal process of taking private property for public use (e.g., for a road or utility). It outlines what the buyer and seller need to do if this happens during the sale.

A fund established by Pennsylvania's Real Estate Licensing and Registration Act (RELRA) to protect consumers who have suffered financial losses due to illegal actions by licensed real estate professionals.

Documents attached to a real estate contract before it's signed, used to clarify or add requirements that aren't included in the main contract. Exhibits can include detailed descriptions of the property or specific agreements.

A contingency clause that allows the buyer to terminate the purchase agreement if they fail to secure the necessary mortgage loan within a specified timeframe.

A contingent event that allows the buyer to back out of the purchase agreement if the property's appraised value comes in lower than a certain amount.

A contingency clause that protects the buyer who needs to sell their existing property before purchasing a new one. It ensures they have the funds for the new purchase.

When notice is given to the broker representing a client, it is considered notice given to the client.

This clause specifies the consequences for a party failing to fulfill their contractual obligations.

If the defaulting party is not represented by a broker, they must pay liquidated damages equal to the amount any involved broker would have received.

If the defaulting party is represented by a broker, the broker's remedies are limited to what's specified in their written agreement.

The losing party in any dispute related to the contract, including commission claims, must pay the winning party's reasonable attorney fees.

This clause outlines the seller's responsibility to ensure the property's condition remains the same at closing as it was when the contract was signed.

The buyer in Pennsylvania gains equitable title once both parties sign the purchase agreement.

This clause acknowledges that the contract represents the entire agreement, superseding any prior agreements.

The contract is binding on the parties' heirs or successors, even if the original parties die.

The contract is binding on any assignees, but the buyer cannot assign their interest without the seller's consent.

The contract can only be modified with the written agreement of both parties.

Even after closing, certain terms of the contract may still apply, such as disclosures made by the seller.

This clause specifies which state's laws govern the interpretation of the contract.

The contract does not need a single physical document with everyone's signatures. It can be divided among different parties.

A contractual clause stating that all parties must perform their contractual duties by a specific date and time to avoid a breach.

A provision in a contract that states if any part of the contract is unenforceable, that part will be removed, and the remaining parts will remain binding.

The date when both parties agree to the terms of the contract and properly communicate acceptance.

The date when the contract is legally binding, triggering the start of the parties' obligations.

A clause in a contract requiring all parties to cooperate and act promptly.

Signatures on contracts using digital methods, such as electronic sounds, symbols, or processes.

A period of time given to a buyer to examine a property and make a decision, usually provided after an offer is accepted.

A specific date and time set for completing certain actions under the contract.

A notice stating the Binding Agreement Date and delivered to all parties.

The legal doctrine that all parties to a contract are treated equally, regardless of who drafted the contract.

All references to time in a contract refer to the time zone of the state where the contract is being executed.

Rules governing contracts are determined by the state where the contract is being executed.

Electronic signatures are legally valid and have the same weight as traditional handwritten signatures.

Both traditional handwritten signatures and electronic signatures are acceptable in contracts.

The process of removing an unenforceable part of a contract without impacting the rest of the contract.

Specifies that the buyer has the right to cancel the purchase of a timeshare or campground membership within five days of signing the contract.

A clause stating that if the seller fails to provide agreed-upon carpet installation, $6,000 will be deducted from their proceeds and held in escrow for the installer.

A period after signing the contract during which the buyer can inspect the property and possibly terminate the agreement.

A clause in a sales contract that allows a buyer to walk away from the deal if the property fails to pass inspections. This protects buyers from unexpected issues like foundation problems or termites.

A clause in a sales contract that makes the contract contingent upon the approval of both parties' attorneys. This ensures that the contract aligns with legal requirements and protects both buyer and seller.

A clause in a sales contract that gives the original buyer a specific time period to continue with the transaction if the seller receives another offer. This protects the buyer from being 'outbid' during the process.

A clause in a contract that specifies the manner and timing of communicating the termination of a contract. This ensures that both parties are informed clearly and definitively.

A provision in a sales contract that outlines additional conditions or requirements beyond the standard terms, ensuring specific needs of the buyer and/or seller are met.

Items that are normally conveyed with the sale of real estate, but that the seller wants to keep. These items might include light fixtures, appliances, trees, or other personal belongings.

The act of formally ending a contract, typically due to the failure of a contingency or other agreed-upon conditions.

Personal property, such as furniture, appliances, or fixtures, that may be included in the sale of a real estate property.

A contract that contains clear, specific details and language that avoids ambiguity and potential for misunderstanding.

A method of buying a property 'subject to' an existing mortgage, where the buyer assumes the seller's existing mortgage obligations.