Juan thinks he would like to purchase taras house but


Juan thinks he would like to purchase Tara's house, but doesn't know whether he will be able to save enough money for a down payment on a loan. Juan agrees to give Tara $5,000 for the option to purchase her house for $150,000 sometime within the next five years. Juan and Tara reduce their agreement to writing, sign it, and Juan gives Tara $5,000. Two years later, Juan wins the lottery and now is financially able to purchase Tara's house. However, that same day, Juan receives a letter from Tara revoking her offer to sell for $50,000. Which of the following is true?

A. Tara's revocation isn't effective

C. Tara's revocation is effective as long as she refunds the $5,000.

D. Juan can't complain because he failed to accept Tara's offer before it was revoked.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Juan thinks he would like to purchase taras house but
Reference No:- TGS02163626

Expected delivery within 24 Hours