No. Even though a buyer or seller can propose an amendment to the contract at any time, merely proposing an amendment to a contract–or refusing to accept a proposed amendment–does not give either party a unilateral right to terminate an existing contract. The contract is only changed after the parties sign the amendment signifying their agreement. Without a fully executed amendment, the original contract remains in effect as written.
Keep in mind that if the buyer purchased a termination option that had not yet expired, the buyer could terminate the contract for any reason.
B. TERMINATION OPTION: If Buyer gives notice of termination within the time prescribed: (i) the Option Fee will not be refunded and Escrow Agent shall release any Option Fee remaining with Escrow Agent to Seller; and (ii) any earnest money will be refunded to Buyer May I suggest a change regarding release EM? I DO think releasing EM should be treated just like releasing option fee without any other form to sign if termination is by option period time. I think it is good to remove the request signatures of release EM within the time prescribed. I believe I am… Read more »
Jing! Hi how are you? Totally agree w/ you. The EM should not require any additional signatures. I had a buyer (I was listing agent) that clearly could no longer get financing, did not have a bucket full of cash, but held up the seller for 3-4 weeks and then insisted she deserved her EM back.. so frustrating for seller and myself and btw the buyers agent disappeared so guess who was handling everything (me the listing agent). So not right! Finally closing date came and went, relisted as active and she was still trying to hold out on sign… Read more »
C. DEMAND: If Escrow Agent does not receive written objection to the demand from the other party within 15 days, Escrow Agent may disburse the earnest money to the party making demand reduced by the amount of unpaid expenses incurred on behalf of the party receiving the earnest money and Escrow Agent may pay the same to the creditors. If Escrow Agent complies with the provisions of this paragraph, each party hereby releases Escrow Agent from all adverse claims related to the disbursal of the earnest money. Also can you please change from MAY to MUST? Just because of this,… Read more »
Some provisions other than the option period, appraisal, etc that is presently in place should be made to protect the seller and buyer. If an issue arises that would call for a change to the contract the buyer or seller should be allowed to reopen the contract. I understand the law as it stands but something is missing here in my opinion.