What Is Attorney Review in New Jersey?

Attorney Review, Explained

Here's the thing that surprises people moving to New Jersey: you sign the contract first, and the attorneys step in after. In New York and most other states, lawyers negotiate every clause before anyone signs. New Jersey reversed the order — and built in a safety valve to make it work.

That safety valve is attorney review: a three-business-day period beginning after both the buyer and seller have received a copy of the fully signed contract. During that window, either party's attorney can approve the contract, request modifications, or cancel the deal outright.

Why New Jersey Does It This Way

The setup traces back to a 1983 New Jersey Supreme Court decision resolving a dispute between the state's bar association and its realtor association. The compromise: real estate agents may prepare residential contracts using a standard form — something that would otherwise be practicing law — provided every contract includes an attorney review clause. That's the trade that makes the whole system function, and it's why the clause appears in every realtor-prepared contract in the state.

When It Applies — and When It Doesn't

Attorney review isn't universal. It attaches to realtor-prepared standard-form contracts for one-to-four family residential properties and vacant one-family lots. That means:

• It applies to a typical residential purchase where agents prepared the contract.
• It generally doesn't apply to a true for-sale-by-owner deal with no agents involved — there's no realtor-prepared form to attach it to.
• It doesn't apply to commercial transactions, where an attorney drafts the contract from the start.

How the Clock Is Counted

The three days are business days — weekends and legal holidays don't count. The count begins on the first business day after both the buyer and seller have received the fully signed contract.

A practical consequence worth knowing: signing late in the week can compress your effective review time, since the weekend doesn't count but the calendar still moves. It's one reason attorneys prefer to be engaged early rather than after the contract is already circulating.

Nobody Is Bound Until It's Over

This is the other point that surprises people. During attorney review, neither party is committed. Either side can walk for any reason. That means a seller can still entertain other offers while review is pending, and a buyer can exit without penalty. It's a genuine open window — which is exactly why most agents and attorneys push to close it quickly.

Should You Use an Attorney?

This is the question Chopper gets asked constantly, and his answer is direct: in Northern New Jersey, the overwhelming majority of residential buyers and sellers use one. In commercial transactions, an attorney isn't just recommended — it's required, since agents can't prepare those contracts at all.

Technically, you're not obligated to consult an attorney. The clause can't be waived from the contract, but you can choose not to use it. What happens then is simple: the three days pass, and the contract binds you exactly as written — standard form and all, with no changes made for your situation.

As Chopper puts it: sometimes cheap is expensive. Don't go in blind, go in protected. Our team works with a number of excellent real estate attorneys we're glad to recommend — you're free to choose anyone you like, but choose someone.