Texas Contract Law 2025 – 400 Free Practice Questions to Pass the Exam

In Texas real estate transactions, the Seller's Disclosure is a critical document that provides buyers with essential information about the property's condition and any existing issues. According to Texas law, sellers are required to provide this disclosure to buyers before a contract is signed. If a buyer receives the Seller's Disclosure after they have already signed the sales contract, Texas law gives them the right to terminate the contract within a specified time frame, typically within seven days.

This right to terminate is designed to protect buyers who may discover significant issues or concerns about the property that were not disclosed prior to their signing the contract. If the buyer decides to exercise this option, they must do so within the seven-day period following receipt of the disclosure. This is important because it gives buyers an opportunity to reassess their decision based on new information, ensuring they are not held to the contract if they have not had the opportunity to consider crucial details regarding the property's condition.

Other choices lack the specific legal backing provided for contract termination within the designated period. While negotiating lower prices or additional terms may be options in some contract scenarios, they do not directly address the implications of receiving the disclosure post-signature. Proceeding with the purchase without considering the disclosed information could expose the buyer to unwanted liabilities or issues with