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Dan offered to purchase a house from Karen in writing for $623,000 and Karen accepted in writing and Dan paid a $100,000 deposit and the
Dan offered to purchase a house from Karen in writing for $623,000 and Karen accepted in writing and Dan paid a $100,000 deposit and the deal was to close on July 2. On July 2 Dan looked at the offer and realized the price was listed as $326,000. Since he had already given a $100,000 deposit he made out his cheque for $226,000. When Karen saw his cheque she just laughed and said the actual price is $632,000 so he owes her $523,000 not $226,000. Which of the following statements is TRUE? If this case goes to court a judge would a. rule that Dan only has to pay the extra $226,000 since he paid a $100,00 deposit b. issue an order of specific performance and force Karen to sell to Dan at the lower price c. rule that since the contract is in writing the lower price is valid d. all of the above statements are true e. rectify the contract and change the purchase price to $623,000
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