Note: This is part 7 of our articles on the Utah REPC 2027 updates. See the previous articles for more details.
Mediation Becomes Optional Under the Printed Form
The prior form allowed a choice involving whether the parties would or could mediate. The 2027 REPC removes that election and provides that mediation may occur at the option of the parties.
For many transactions, the change may have little practical effect. In a transaction where the parties want mediation to be mandatory before litigation, they may need additional contract language. Because dispute-resolution provisions affect legal rights, any customized language should be handled carefully.
Changes to Default Remedies
During Attorney General review, language stating that a party could ‘cancel the REPC’ was removed from certain buyer- and seller-default remedy options. The apparent purpose is to distinguish cancellation or termination from pursuing another remedy while the contract remains legally relevant.
Default provisions should not be interpreted casually. A wrong election can affect earnest money, damages, specific performance, attorney fees, and whether the contract continues. Agents should explain the form’s choices within their scope, notify the principal broker immediately, and recommend legal advice when a default actually occurs.
No Assignment and Permissible Transfers
The general rule remains that the buyer cannot freely assign the REPC to an unrelated third party. The contract does permit limited transfers associated with the buyer, such as taking title through the buyer’s own entity or trust, when the requirements for a permissible transfer are met.
The new language emphasizes timely notice to the seller and the buyer’s continuing responsibility for the contract and applicable legal obligations. Moving the transaction into an LLC does not automatically release the original buyer from responsibility.
Advertising Before the Buyer Owns the Property
A buyer must obtain the seller’s prior written consent before advertising or marketing the property for a future sale, lease, or short-term-rental use before closing. Until ownership transfers, the seller controls whether the property is marketed.
This provision is especially relevant to investors who intend to line up a tenant, advertise a short-term rental, or market an eventual resale while the purchase is pending. The buyer’s future plan does not create a present right to advertise someone else’s property.
What Counts as Receipt of an Electronic Notice
Notices must be in writing, signed by the party giving notice, and received by the proper party, agent, or broker by the applicable deadline. The 2027 form adds a definition of electronic receipt: a notice, offer, or counteroffer is received when it enters the recipient’s information-processing system.
Under that language, the moment the recipient opens the email is not necessarily controlling. A message may be received even if it is unread or routed to a spam folder. The change should produce better timestamp evidence, but it makes accurate addresses, functioning systems, and prompt delivery even more important.
Acceptance Requires Receipt
The revised acceptance language states that an offer or counteroffer is not fully accepted until it has been received by the other party or an authorized recipient identified in the contract before the acceptance deadline.
A signature followed only by an oral statement that the document was signed may not complete acceptance. The signed contract must be transmitted and received. Agents should send the complete signed document promptly, use the correct delivery channel, and preserve reliable evidence of the transmission time and destination.
When an offer is withdrawn near the deadline, the relevant sequence may be the receipt of the withdrawal versus receipt of the signed acceptance. Disputed timing is a legal issue.
Page 6 Takeaway
Page six rewards disciplined communication. Use written documents, proper recipients, reliable delivery records, and exact timing; do not rely on verbal assurances that a contract was accepted.
Official references: Utah State Approved Forms and Utah Code 61-2f.
Educational disclaimer: This general educational summary is not legal or tax advice. Consult the final approved form, the principal broker, and qualified legal or tax counsel as appropriate.