the '3 day grace' period a client has to accept or reject the contract is called Attorney Review if the clients do not seek legal avise.

Asked by Shadow17, Red Bank, NJ Wed Sep 12, 2012

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7
Maria Martin…, Home Buyer, Millbrae, CA
Tue May 12, 2015
I just signed a realestate contract yesterday, but I am getting cold feet and want to back out is there a grace period? I live in California.
0 votes
Mary Petti, Agent, Edison, NJ
Thu Sep 13, 2012
Shadow,

"Attorney Review period" can only occur if one or both parties retain an attorney. In this case either attorney can, on behalf of their clients, cancel the contract IN WRITING within the 3 day period with no reason, and without penalty.

Most contracts have wording similar to this right at the beginning:

"This is a legally binding contract that will become final within three business days. During this period you may choose to consult an attorney who can review and cancel the contract. See paragraph on Attorney Review for details."

If either party does not have an attorney and decides to cancel the contract within 3 business days, IMHO, you should do it by certified letter, or at least a notarized letter, as proof that you canceled the contract within the proscribed 3 business day period.

However, I highly recommend that if you enter into a contract of sale as either a buyer or a seller, you retain an attorney. This is a major financial transaction with a multitude of things that can (and do) go wrong along the way.
Not only do attorney's protect your interests and legal rights in the transaction, they are responsible for performing other legally required duties necessary to close on a home. The $$ you spend on this assistance is well worth it.
0 votes
Deborah Madey, Agent, Brick, NJ
Wed Sep 12, 2012
If both buyer and seller sign a contract, there is no "grace period' in which you may simply change your mind. Only an attorney can void or amend the contract during this time period. And, attorneys can and are guided by their client's objectives.
0 votes
Helene Jeane…, Agent, Metuchen, NJ
Wed Sep 12, 2012
Correct, however, keep in mind it is three BUSINESS DAYS and it may be extended by mutual agreement. Some parties conclude before the three days, most after. I strongly recommend that you do seek legal representation for this process.
0 votes
Deborah Madey, Agent, Brick, NJ
Wed Sep 12, 2012
Buyer and seller have 3 business days to have an attorney review their contract after all parties sign. If a principal chooses to waive attorney review, they may, but their waiver will not shorten the time frame. However, if both parties retain counsel the contract can be finalized upon their completed review and that can be sooner than the defined 3 days. It may also be extended beyond the 3 days, and frequently is.
0 votes
Andrew Tisel…, Agent, Clifton, NJ
Wed Sep 12, 2012
there is 3 day attorney review period when both parties have accepted the contract . This is time you have to get it to an attorney. Once an attorney has the contract they usually make change to it which could extend the attorney review period.

There is no time limit as to how long you have to accept or reject a a contract as long as both parties are still willing and able.
0 votes
I want to purchase in New Jersey if it makes a difference.
Flag Fri Apr 7, 2017
So Andrew, once you sign the contract you only have three day to retain an attorney. I want to make a bid but dont want to the pay the attorney fee unless my offer is accepted. Would you suggest I place a bid without a lawyer and if approved make any changes?
Flag Fri Apr 7, 2017
Joe Montenig…, Agent, Sewell, NJ
Wed Sep 12, 2012
Ask your broker that question....
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