Offers to purchase usually contain either of the following clauses:
- This offer is irrevocable until 1 November 2024 (date as stipulated by purchaser) OR
- This offer lapses on 1 November 2024.
There is a big difference in the effect this wording has on the date on which the offer lapses.
Should the estate agent present an irrevocable offer to the seller, it is open for acceptance by the seller and cannot be withdrawn by the purchaser within the specified irrevocable period as provided for in the offer. The purchaser can only revoke the offer after 1 November 2024, if the seller has not yet accepted it. After 1 November, the offer remains open and capable of being accepted until the purchaser revokes his offer. The irrevocable character of the offer simply falls away after the stated date.
Should the offer to purchase read that the offer lapses on 1 November 2024 the seller must accept it before midnight (or such other time as contractually specified) on the 1st of November 2024. The offer lapses and will be of no force and effect on the morning of 2 November. If the seller wants to continue with the offer as stated, a new offer to purchase must be signed by the purchaser and presented to the seller.