How are days counted in the FAR/BAR As-Is Real Estate Sales Contract? As of November 1, 2021 there is a new version (6) of the FAR BAR As-IS Contract with these changes.
I’m surprised by how many folks read this post so let me say this before I answer the question. If you’re an agent reading this, you need a new broker. If you had to google this question because your agent didn’t know, you need a new agent. Call me, Chris, at 561.626.8550.
The day both parties signed and dated, with ALL changed initialed and dated in the Contract, AND that Contract was delivered to both parties is the Effective Date. This is day “0” in counting the days. When counting back from the Closing Date, for things like when is the title commitment due, the Closing Date is day zero. And ALL times in the LATEST Far Bar As-IS are calculated using CALENDAR days. So, let’s day that the Contract Effective Date is 25 August, 2023. Let’s also assume the Contract specified a 10 day As Is Inspection Period. The Inspection Period ends on day 10 which is 4 September, a Monday. BUT that Monday was Labor Day, a National Legal Holiday. Thus the Inspection Period extends to the end of the NEXT business day, Tuesday the 5th. Note that the last version of the Far Bar As-Is specifed 5 PM on the next business day but the most recent version does NOT. Thus it ends at 11:59 PM on Tuesday being the next business day.
A similar calculation is used for the “Loan Approval Period” with, again, the Effective Date being day “0” and count the calendar days from that. If it ends on a Saturday, Sunday or legal holiday then it extends to the next non holiday business day.
In 2023 the National Legal holidays are:
| Monday, January 02 | New Year’s Day |
| Monday, January 16 | Birthday of Martin Luther King, Jr. |
| Monday, February 20 ** | Washington’s Birthday |
| Monday, May 29 | Memorial Day |
| Monday, June 19 | Juneteenth National Independence Day |
| Tuesday, July 04 | Independence Day |
| Monday, September 04 | Labor Day |
| Monday, October 09 | Columbus Day |
| Friday, November 10 * | Veterans Day |
| Thursday, November 23 | Thanksgiving Day |
| Monday, December 25 | Christmas Day |
| Date | Holiday |
|---|---|
| Monday, January 01 | New Year’s Day |
| Monday, January 15 | Birthday of Martin Luther King, Jr. |
| Monday, February 19 * | Washington’s Birthday |
| Monday, May 27 | Memorial Day |
| Wednesday, June 19 | Juneteenth National Independence Day |
| Thursday, July 04 | Independence Day |
| Monday, September 02 | Labor Day |
| Monday, October 14 | Columbus Day |
| Monday, November 11 | Veterans Day |
| Thursday, November 28 | Thanksgiving Day |
| Wednesday, December 25 | Christmas Day |
**This holiday is designated as “Washington’s Birthday” in section 6103(a) of title 5 of the United States Code, which is the law that specifies holidays for Federal employees. Though other institutions such as state and local governments and private businesses may use other names, it is our policy to always refer to holidays by the names designated in the law.
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