Multiple Choice Question: A buyer and seller have entered into a purchase agreement using C.A.R.’s Residential Purchase Agreement (RPA). You are an agent preparing a subsequent Request for Repair (RR) (or similar document). What date should you insert on Line 4 of the RR as the date of the Purchase Agreement? Pick the best answer:

A. “Date Prepared” on page 1 of the RPA.
B. Date that both the buyer and seller have signed on page 15 of the RPA.
C. Date of Acceptance.
D. Any of the above. 

Answer: Answer A is not a wrong answer, but see the caveat below. C.A.R. added “Date Prepared” at the top of page 1 of certain forms so that it can be used as a date of reference for subsequent documents. It’s true that “Date Prepared” may not be the same date as when the parties signed the agreement (Answer B), or entered into a binding contract (Answer C). But “Date Prepared” is still a valid point of reference, similar to a File Number.

Answer B is also not wrong. However, as a side note, I am assuming an agent wants to use the date both parties have signed on page 15 of the RPA, because the agent mistakenly believes that to be the date of “Acceptance.” In truth, however, “Acceptance” under the RPA requires not only signatures on page 15, but also delivery of the last signature to the other side, as further explained in the next paragraph.

Answer C is also not wrong. The date of “Acceptance” under the RPA is when the final offer or counter offer is signed by the recipient party and “Delivered” back to the offering party (see paragraph 25A of the RPA). The word, “Delivered,” means personal receipt of the document by the offering party or that party’s authorized agent (absent any DEDA) (see paragraph 25K of the RPA).

Answer D is usually the best answer with one caveat. Make sure that the date you use does not lead to any confusion. Let’s say, for example, that you are a listing agent, and a buyer’s agent submits to you Offer #1 with a “Date Prepared” of January 22, 2024. But then the buyer’s agent contacts you immediately saying, “Disregard that offer, I’m sending you Offer #2 instead.” If Offer #2 also has a “Date Prepared” of January 22, 2024, it would be a bad idea for anyone to be referencing the “Date Prepared” of January 22, 2024 in subsequent documents, given that there are 2 offers in existence with that same date. Of course, that situation is a rarity. Generally speaking, you can reference the “Date Prepared” of an RPA on subsequent documents.

-Thank you to Steve Rifkin (Calabasas Office) for suggesting this week’s legal tip!

Copyright© 2024 Berkshire Hathaway HomeServices California Properties (BHHSCP). All rights reserved. Any unauthorized reproduction or use of this material is strictly prohibited. This information is believed to be accurate as of January 22, 2024. It is not intended as a substitute for legal advice in individual situations, and is not intended to nor does it create a standard of care for real estate professionals. Written by Stella Ling, Esq.