Home Selling in 92037>Question Details

Dedicatedtra…, Home Seller in 92037

purchase agreement signed 5 pm on Sunday; buyers have 7 days to remove contingencies. What is day 1 - is that day of signing or next day - Monday.?

Asked by Dedicatedtraveller, 92037 Thu May 17, 2012

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The standard CAR (California Association of Realtors) RPA (Residential Purchase Agreement) is calendar days, not business days. Unless otherwise noted.

J.R. Thrasher
http://www.SanDiegoRealEstateVeterans.com
619-929-0105
1 vote Thank Flag Link Wed Aug 21, 2013
Day one would start on the next day which would be on Monday in this situation.

Anthony Guerrieri
Berkshire Hathaway Home Services California Properties
La Jolla
858-405-9394
AnthonyGBHHS@gmail.com
0 votes Thank Flag Link Thu Aug 28, 2014
From the moment you have a fully-executed contract (that's day one), whether it falls on a weekend or a weekday.
0 votes Thank Flag Link Fri Aug 31, 2012
The time clock starts to click for the 7 days to remove contingencies from the date of acceptance.
Which means in essence that you have a fully executed contract signed and initialed by both the Buyer and Seller.
0 votes Thank Flag Link Mon May 21, 2012
Dedicatedtraveller:

Short answer: it depends!

Assuming you are using the 4/10 CAR Residential Purchase Agreement, "day 1" would be the day after "acceptance".

"Acceptance" is defined in RPA Para 22A as, "...the time the offer or final counter offer is accepted in writing by a party and is delivered to and PERSONALLY RECEIVED by the other party or that party's authorized agent in accordance with the terms of this offer or a final counter offer."

While Page 8 of the RPA provides for the Buyer to date/time a confirmation of acceptance; located just under the Seller signature lines, this is not required in order to create a binding agreement.


Now, there's another definition that needs to be taken into consideration:

RPA Para 22H also defines "Deliver", "Delivered" or "Delivery" as "... regardless of the method used (i.e. messenger, mail, email, fax, other), means and shall be effective upon (i) personal receipt by Buyer or Seller or the individual Real Estate Licensee for that principal as specified in paragraph D of the section titled Real Estate Brokers on page 8..."


So, "Day 1" should be Monday IF the Buyer or Buyer's agent PERSONALLY received delivery of the seller's acceptance on Sunday as defined above.


Interestingly, since you are asking about contract/contingency timelines, note these additional Para 22 definitions that may influence contract dates:

"Days" means calendar days. However, After Acceptance, the last Day for performance of any act required by this Agreement (including Close Of Escrow) shall not include any Saturday, Sunday, or legal holiday and shall instead be the next Day."

"Days After" means the specified number of calendar days after the occurrence of the event specified, not counting the calendar date on which the specified event occurs, and ending at 11:59PM on the final day."

"Days Prior" means the specified number of calendar days before the occurrence of the event specified, not counting the calendar date on which the specified event is scheduled to occur."


-Steve
0 votes Thank Flag Link Thu May 17, 2012
Day 1 is the day after the contract was signed. It doesn't matter what time it was signed, just the day.
I recently posted an article explaining "days before" and "days after" - the link is below.
0 votes Thank Flag Link Thu May 17, 2012
Very common question. Day one would Monday. That is a very tight timeline, hopefully it works out.

Wesley Tyler Guest
5530 La Jolla Blvd. Ste 1B, La Jolla, CA 92037
619.379.7675. Info@wesleyguest.com
0 votes Thank Flag Link Thu May 17, 2012
Regardless of what is day one, I'd like to say that 7 days to remove contingencies is ridiculous and anyone that writes that into a contract is not doing you any favors. I'm sure you will get a bunch of people saying they can do 7 days easily (that's actually 5 days since every 7 day period has 2 days where banks are not open) but it's just not possible with the way disclosures work and appraisal time frames.
0 votes Thank Flag Link Thu May 17, 2012
Assuming that you signed the California Association of Realtors form Residential Purchase Agreement ("RPA") and are referring to filling in the blanks for contingency removal days in paragraphs 3. H (3), 3. I and 14 (Loan, Appraisal and Inspection contingencies respectively), those paragraphs all provide that the time for removing contingencies is "X days after Acceptance." Therefore, day 1 would clearly be Monday.

it is much less certain, however, if "Buyers have 7 days to remove contingencies" was a sentence written in an Addendum or Counter Offer. In such a circumstance, if you are Seller, and desire a smooth and harmonious deal, I would suggest you count day 1 as Monday. As you can see, all of the contingency timeframes in the RPA begin the day after Acceptance. I think it would be difficult to sustain an argument that day 1 was Sunday, especially if the contract was not signed until 5pm on that day. If you are Buyer, and one day either way is critical, I would suggest that you seek written clarification/confirmation as soon as possible from Seller/Seller's agent.

Good luck!
0 votes Thank Flag Link Thu May 17, 2012
Sometimes time frames can be confusing. They always start the following day. Day 1 would be Monday.
0 votes Thank Flag Link Thu May 17, 2012
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