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Question 20.ss.1: Of the two parties to an option contract, the buyer and the ...

Of the two parties to an option contract, the buyer and the seller, who has a right and who has an obligation?

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The buyer (owner) of the option has the right to exercise the option but is not required to do so. The seller (or writer) of the option is obligated to take the other side of the transaction if the option owner decides to exercise it.

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