In order to have a contract, you need either consideration or seals, one or the other, not both. For standard OREA Agreements, we have both.
Consideration is a “promise for a promise”. The Buyer agrees to pay and in exchange, the Seller agrees to convey.
A deposit is just a simple term of the deal. It’s not even required.
An Offer submitted by a Buyer is not binding upon them (there’s no consideration), until acceptance. So, it can be revoked at any time prior to acceptance.
So, let’s add some seals! One or the other (consideration or a seal) works and that Offer is now binding upon the Buyer prior to acceptance, and will not expire until the irrevocable time.
If you want to be able to revoke, cancel, or rescind an Offer prior to the irrevocable time, then, pull off the seals! You could do this by “crossing them out” and adding a paragraph to Schedule “A”, “this document is not executed under seal”.
Interesting side note: The only evidence binding a spouse to the Spousal Consent clause is the seal. They are not getting any money out of the deal.
Brian Madigan LL.B., Broker