Hensley and Boyer have been negotiating for several months over issues related to the purchase and sale of some real estate.They draft a letter of intent which:
A) protects both parties by ensuring the other side is serious and creates a binding agreement on the issues on which the parties have agreed thus far.
B) may or may not be an offer, depending on the exact language and whether the document indicates that the parties have reached an agreement.
C) has no legal effect, but provides a record for the parties as to where the negotiations stand.
D) courts will consider to be a valid offer which the other party must accept if offered in good faith.

Question

Quizplus · Accepted Answer

A letter of intent is typically not considered a binding agreement, but rather a document that outlines the current status of negotiations and signals intent to continue the process. Its legal effect as an offer or not depends on the language used and the parties' intentions.

Hensley and Boyer Have Been Negotiating for Several Months Over