Học Thi Real Estate License ở California: Real Estate Contracts 1. The instrument most likely to state that "time is of the essence" is a(n): exclusive agency listing open listing real estate purchase contract exclusive right to sell listing 2. A salesperson obtains a listing on her broker's house. Immediately thereafter, she changes brokers. the listing belongs to her previous broker the listing belongs to her new broker the listing is terminated by the change the listing belongs to the salesperson 3. All four copies of a purchase agreement would most likely be signed by the: buyer seller buyer and seller buyer, seller, and broker Hint 4. Under an exclusive agency listing, a broker advertises a home. The owner sells the home prior to the expiration of the listing. The broker is entitled to: her expenses nothing her full commission half of her commission Hint 5. To take a valid option on real property, which of the following is not required? written agreement a real estate license valuable consideration transfer of consideration to the optionor Hint 6. An example of an illegal earnest money deposit would be: cash none of these a personal check a promissonry note 7. Which of these contracts must be in writing in accordance with the Statute of Frauds? a contract that is not to be performed for 13 months the sale of growing crops a lease for one year all of these Hint 8. After a house on which Paula, a broker, had an exclusive agency listing has been sold by another broker, she finds out about it. The selling broker received a full commission. Paula shoud make a demand on the: selling broker for full commission selling broker for half commission owner for full commission owner for half commission Hint 9. Negative fraud would be: nondisclosure fraud that results in harm to another fraud that was not acted upon unintentional fraudulent action Hint 10. The function of board arbitration is to: settle disputes regarding closing costs settle disputes between agents set standard closing costs for buyers and sellers none of these 11. All of the following are essential elements of a contract except: performance an offfer acceptance consideration Hint 12. Broker John took an oral listing of Ralph's popcorn wagon at a price of $400. The agreement provided for a 25 percent commission. John was successful in arranging a sale. From these facts: John has placed his license in jeopardy Ralph does not have to pay John a commission neither a nor b both a and b Hint 13. An option set forth in a lease would be a(n): covenant encumbrance restriction appurtenance Hint 14. A broker takes a listing that does not include an authorization to take a deposit. the broker cannot take a deposit none of these is true if the broker takes a deposit, he does so as the agent of the buyer the authorization is implied 15. An ordinary exclusive right to sell listing in a broker's inventory is an: executory unilateral contract executed bilateral contract executed unilateral contract executory bilateral contract Hint 16. The listing price is most likely: an average market value a low market value not related to market value a high market value 17. In accordance with the safety clause in an listing, the broker notifies the owner verbally of a prospective buyer. Ten days after the listing expires, the buyer purchases the property. the broker is not entitled to any commission the broker is entitled to a commission based on the selling price the broker is entitled to a commission based on the listing price the amount of the commission would be decided by the Real Estate Commission Hint 18. An exclusive right to sell listing contract shows the expiration of the listings as 12 noon on December 3. At 3 P.M. on December 3, Adam, the original listing broker, produces a buyer. The owner gave an exclusive listing on the property at 2 P.M. on December 2 to Bernadine, another broker Adam has placed his license in jeopardy none of these is true Bernadine is entitled to a commission Adam is entitled to a commission Hint 19. The Alquist-Priolo Act deals with: special studies zones toxic waste military ordnance locations lead paint disclosure Hint 20. A broker sold a home under an oral listing and was paid a commission. As to this: none of these the sale is voidable the broker has placed her license in jeopardy the compensation must be returned Hint 21. All of the following are ways by which an offer to purchase real estate would be terminated, except: failure to accept the offer within a prescribed period a conditional acceptance of the offer by the offeree death or insanity of the offeror or offeree, regardless of the notice thereof failure to communicate notice of revocation before the other party has communicated acceptance Hint 22. The lead paint information booklet must be given to buyer of one to four residential units constructed prior to: 1980 1978 1988 1992 23. Sherman agrees to pay $100,000 for Ray's lot. During escrow, Ray learns that Sherman has an offer to sell the lot for $300,000 and that Sherman had priviledged information about this buyer before he made his offer. Ray sues Sherman for his profit. Ray is liable to both Sherman and his buyer Sherman can obtain specific performance but no money damanges Ray has no valid claim against Sherman's profit because it was a secret profit, Ray will prevail Hint 24. Antonio enters into a contract with Bess through the chicanery of a broker who induced the contract through fraud. The contract is: void valid unenforceable voidable Hint 25. In taking a listing it is proper for the broker to: agree to accept a listing at a greater price than that suggested by a competitor ascertain the seller's reason for listing raise the owner's asking price to include the commission accept the listing at whatever price the owner wants 26. An offer to perform in accordance with contractual obligations would be: consideration tender completion performance Hint 27. Ashley gives her broker, Bob, an exclusive agency listing. Ashley's cousin, a broker in another town, finds a buyer and takes a reduced commission. Ashley owes Bob a commission Ashley's cousin must split his commission with Bob Ashley's cousin has placed his license in jeopardy Ashley does not have to pay Bob Hint 28. Angelo lists his farm on July 1 with Benita, a broker. The listing is for 30 days. On August 2, Benita finds a full-price buyer who makes a deposit directly into escrow (no purchase contract is signed). Benita is not legally entitled to a commission the buyer owes the commission Angelo must pay Benita the commission the escrow mus pay the commission to Benita Hint 29. The broker's agreement to use diligence in finding a purchaser: makes the listing a unilateral contract none of these makes the listing revocable by the owner makes the listing a bilateral contract Hint 30. A purchase contract signed because of duress is: all of these illegal void voidable Hint 31. A listing that does not require a broker to use diligence in obtainning a purchaser is: void a bilateral contract not an exclusive listing illegal Hint 32. If a buyer wishes to give a promissory note as a deposit with an offer: the broker can never accept a note none of these the broker can accept the note but must inform the principal that the deposit is in the form of a note the broker cannot accept without the owner's permission 33. A minor inherits land. While still a minor, she deeds the land to the church, which puts a building on it. After reaching majority, she changes her mind and wants the land back. if it was a charitable gift, she cannot get it back all of these are true she must pay the church the value of the structure she can get the land back Hint 34. The authority of the broker to accept a deposit is provided for in the: deposit receipt all of these escrow instructions listing 35. Losing a right due to failure to assert it in a timely fashion is called: dereliction laches satisfaction subrogation 36. A sale falls apart and both the buyer and the seller make demands on the broker for the buyer's deposit. A wise broker would: file an interpleader action give it to the owner take it out of his commission give it to the broker 37. Optionor best describes a(n): prospecive buyer lender owner broker Hint 38. A broker receives a full-price offer on a house she has listed in accordance with the terms of the listing. Before she can present the offer, another broker brings in an offer for $500 less but slightly better terms. The listing broker should: present both offers at the same time refuse to accept the second offer present both offers in the order tell the other broker the property has been sold Hint 39. As to contracts, which of the following is true? printed text takes precedence over typed text in a printed contract, the printed form takes precedence over hand-written text printed and handwritten notations carry the same weight and the court decides the meaning the handwritten portion takes precedence over the printed portion in the event of any differences Hint 40. An owner instructed her broker not to present any offer that did not include a deposit of at least five percent of the price offered. The broker received an offer without any deposit. The broker should: inform the buyer that a deposit is required by law use trust funds to make up a deposit return the offer to the buyer present the offer Hint 41. A broker informs an owner that a listing is really an open listing, when in fact it is an exclusive agency listing. the broker has placed her license in jeopardy the broker is entitled to a commission, no matter who sells the property the doctrine of caveat emptor prevails none of these is true Hint 42. A listing entered into on March 12, expiring at midnight on April 12, is for ___ days: 31 30 32 33 Hint 43. The broker who has most likely earned his or her commission has: any of these received the seller's acceptance of the offer notified the buyer of the seller's acceptance received an offer on listed property Hint 44. An offer usually has to be accepted: none of these in the manner specified in the offer within 10 days in writing 45. Mold disclosure applies to: every real estate transaction industrial property one to four residential units only single-family homes Hint 46. An offer would be terminated by: rejection by the offeror revocation by the offeree rejection by the offeree a request for an extension by the offeree Hint 47. A listing dated June 1995 states "cash and assume a loan at ____ percent interest per annum with balance due in December 2010." the salesperson who wrote it is subject to discipline the existing loan is illegal the listing is illegal the listing is okay Hint 48. Alice, a broker, submits a listing to an MLS based on a phone conversation with the owner, who indicates he will give Alice the listing. Bart, another broker, obtains a full-price offer, but the owner refuses to sell. the owner is liable to Alice for a commission Bart is not entitled to any reimbursement Alice is liable to Bart for his commission the owner is liable to Bart only 49. The rate of commission for selling a business is determined by: real estate regulations Code of Commissions of the NAR the agreement between the broker and the owner the Real Estate Law Hint 50. Broker Elsie listed a property owned by Widow Jones. The called for a 12 percent commission. After the sale was completed and the commission paid, Widow Jones discovered that Elsie charged other owners six percent for sales of similar property. As to this transaction: none of the above Elsie has placed her license in jeopardy Jones is entitled to the return of the entire commission paid Jones is entitled to the return of half of the commission Hint 51. Megan's Law deals with: sex offenders water quality military ordnance waster disposal Hint 52. The buyer would sign a receipt for a booklet dealing with: environmental hazards unhealthy air "as is" sale condition nonconforming use 53. Waiver differs from rescission in that waiver: requires cessation of an action modifies the contract to read as it was intended to read puts the parties back to where they were leaves the parties as they are Hint 54. Burt, a broker, shows houses on which he has listings to Don and Wilma Smith. They don't like any of them. When Don is away, Burt shows a house to Wilma. She likes it and gives a deposit. On the purchase contract form, what would be appropriate to write after "received from"? Don and Wilma Smith as joint tenants Don and Wilma Smith Wilma Smith Don an Wilma Smith, husband and wife 55. An election of remedies would most likely appear in: a purchase agreement escrow instructions a listing a deed Hint 56. A young couple indicates to a broker that the down payment is beyond their means. While showing them a property, the broker overhears them discussing taking out a personal loan for the down payment. The broker should: explain that real estate ownership is well worth a temporary hardship tell them not to buy if they must borrow point out the appreciation advantages of real estate caution the purchasers as to the danger of overextending themselves 57. A buyer makes an accepted offer conditioned upon the approval of the buyer's spouse. Prior to the spouse's approval, this is a(n): illusory contract illegal contract binding contract void contract Hint 58. Alec gives Betty an option to buy his farm for $50,000 within 30 days. Betty gives Alec $50 for this option. Alec notifies Betty 25 days later that he is withdrawing the option. Two days later Betty tenders the full option price to Alec for the farm. Alec must accept or he can be sued for damages or specific performance both b and c are true Alec does not have to sell, as the option was properly canceled Alec must return the $50 to Betty Hint 59. An option cannot be assigned: if the option period is over three months both a and b in any instance if purchase consideration is an unsecured note Hint 60. A statement that commissions are negotiable need not be included in: a listing of a five-unit apartment building a listing of a single-family home both a and b neither a nor b Hint 61. After agreeing verbally to split a commission with a selling broker, the listing broker now refuses to do so. The selling broker should: sue the listing broker none of these-the agreement was verbal contact the Real Estate Commission notify the state labor commissioner 62. An option is a(n): fiduciary agreement offer to enter into a contract voluntary lien contract to keep an offer open 63. A disclosure that warns a buyer that there may be additional financial obligations after close of escrow would concern the: supplemental tax bill disclosure title insurance notice industrial airport disclosure methamphetamine contamination notice Hint 64. A property was used to manufacture methamphetamine. When must a purchaser be notified of this use? if the occupant was convicted of the manufacture if there was any possibility of contamination if a cleanup order was issued if there is reasonable evidence of such use Hint 65. Armand contracts to sell some land to Brenda and thereafter refuses to perform. Brenda wants the land, so she should bring suit against Armand for: rescission specific performance compensatory damages novation Hint 66. Archie, a broker, listed a property. Conrad, a salesperson working for Beryl, another broker, received an offer. Diana, a salesperson working for Archie, got the offer accepted. Who earned the commission? Conrad Diana Beryl Arcjoe Hint 67. Unknown to the seller, the buyer dies 10 minutes before the selelr accepts the purchase offer. The contract is: illegal voidable unenforceable valid Hint 68. Entering into a contract with a person you did not know and had no reason to know and had no reason to know had been declared incompetent would make the contract: void valid voidable voidable by either party 69. Mutual consent is usually evidenced by: offer and acceptance fraud duress none of these Hint 70. A broker has a standard CAR Residential Listing Agreement. During the listing, the owner signs a two-year lease without the consent of the broker. none of these is true the owner owes the broker a commission no consent is ever needed the owner owes the broker half the commission Hint 71. An owner dies one week after giving a six-month exclusive right to sell listing. His administrator does not wish to sell the property. none of these is true the administrator is liable for the commission the estate is liable for the commission the heirs are liable for the commission Hint 72. A broker lists property owned by a corporation. Before expiration of the exclusive listing, all of the officers of the corporation die. the listing is suspended the listing remains in full effect the listing must be reaffirmed by new offers the listing is terminated automatically Hint 73. As to an offer to purchase, which of the following is true? none of these it must include a deposit structural inspection and clearance is required the broker has the option of submitting the offer 74. Brokers earn their commissions: on close of escrow by finding buyers ready, willing, and able to buy none of these at the time that they list properties Hint 75. A contract that allows a real estate agent to be an agent of all of the parties to a transaction would be a(n): exchange agreement seller disclosure statement open listing exclusive right to sell listing 76. Coercion and duress are applied to one party in a contract. The contract is: illegal unenforceable void voidable Hint 77. The agreement between a broker and a salesperson as to commission splits would normally be: an agency agreement none of these an implied contract an express contract Hint 78. A broker obtains a $1,200 down payment on a $20,000 full-price offer on her exclusive six percent listing. After acceptance, the seller releases the buyer from his obligation. The broker should: ask the local real estate board to arbitrate keep the $1,200 as her commission leave the $1,200 in escrow return the $1,200 to the buyer Hint 79. A verbal agreement to sell real estate would be enforceable where: it involves unimproved land the purechase price is less than $500 the buyer takes possession, makes a down payment, and improves the property the parties swear to the agreement on a Bible Hint 80. Anita signs a real estate purchase contract as a buyer. The contract states that it is good for three days. One day later, Anita wishes to revoke her unaccepted offer. Anita is bound because the offer is irrevocable Anita may revoke and revocer her deposit Anita may revoke but is liable for the commission Anita may revoke but will forfeit her deposit Hint 81. Sandra, a broker, had 40 hours listed when she passed away. Her daughter, also a broker, inherits the business. She must: seek judgment in court to get the commissions regenotiate the 40 listings tell the 40 sellers that she is taking over and that as far as they are concerned there is no change inform the 40 sellers as to what happened and that all the listings belong to her Hint 82. Which of the following would not have to be in writing to be enforceable? sale agreemet for a prize bull for $600 sale of a residence sale of a lot for $100 none of these Hint 83. Payment of a commission orally agreed to without subsequent written ratification is: both a and b contrary to real estate rules and regurations legal illegal Hint 84. A broker has an exclusive agency listing on a property and inadvertently states 6 cents rather than six percent as his commission on the listing. If the owner sells the property, the broker is entitled to: the amount determined by the Commissioner 6 cents nothing six percent of the sale price Hint 85. A broker repeated rent information he received from his client to a purchaser. After the sale, it was discovered the information was false. The new buyer went to an attorney. Most likely she would sue: the broker none of these, because of caveat empor the seller the seller and the broker Hint 86. A buyer of a common interest development is entited to receive all except: one-year buyer warranty homewner Association financial statement copies of the CC&Rs homeowner Association bylaws 87. An option provides for a consideration of one dollar. The option is: valid if the consideration has been paid valid as long as the option stated a consideration void because of the inadequacy of the consideration none of these Hint 88. On a dwelling having four units, one of which the buyer intends to occuy as a residence, liquidated damages cannot exceed: the amount of the sales commission three percent of the sale price actual expenses none of these 89. As to options, which of the following is true? none of these the optionee is entitled to the return of his or her consideration if the option is not exercised consideration does not actually have to change hands as long as the option says it has there is a fiduciary duty between the optionor and the optionee 90. The listing offering the greatest chance for the listing broker to earn a commission is a(n): exclusive right to sell listing net listing exclusive agency listing open listing 91. A real estate purchase contract is: an agency none of these a unilateral contract a bilateral contract Hint 92. A broker lists a property for $20,000. He discovers that the holder of a $5,000 second trust deed will discount it 50 percent. A prospective buyer will pay $17,500 for the property, but the seller indicates her price is firm. The broker should: buy the trust deed himself find another buyer inform the seller that the trust deed can be discounted tell the buyer to offer $20,000 and assume the second trust deed Hint 93. A broker locates a buyer ready, willing, and able to buy accepting the exact terms of an exclusive right to sell listing. The seller refuses to sell because the buyer has been arrested and convicted on a morals charge. the owner does not have to accept the broker has violated his agency the owner can refuse the offer without penalty the owner must accept the offer Hint 94. Albert agrees to buy Boswell's "corner lot in Block 4 of College heights" for $30,000. Boswell thinks the sale is for Lot 18, but Albert thinks it is for Lot 32, which is another corner lot in the same block that is also owned by Boswell, Albert gets Lot 32 there is no contract Albert has a chouce of Lot 18 or 32 Albert gets Lot 18 Hint 95. An agent had a listing that authorized the agent to accept deposits. The agent received a $50,000 cash deposit. The agent and the deposit cannot be located. Who is responsible for the loss? the buyer as the offer was not accepted the recovery fund the owner as her agent took the money the agent only Hint 96. The only provision an exlusive listing contains for terminaion is upon the owner giving two-hour notice to the broker. the listing is a unilateral contract there is nothing wrong with the broker's action the broker is subject to disciplinary action the provision as to early notice has no effect Hint 97. A broker is least likely not to get in trouble by: failing to put a termination date in an open listing forgetting to give a copy of an exclusive listing to the person signing it taking an option with a listing taking a net listing Hint 98. Escrow is unable to close because the seller cannot deliver marketable title. The buyer can get his deposit back but is: liable for one-half of the escrow costs none of these liable for costs incurred liable for the broker's commission Hint 99. A buyer who refused to complete a sale without proper cause might be entitled to the return of all of his or her earnest money deposit if: the seller found another buyer for more money the purchase were a disabled veteran the property was one to four residential units the property was to have government-assisted financing Hint 100. A broker under an exclusive right to sell listing had her license revoked. In order to collect a commission, she must prove all but which of the following? the listing was property executed she was licensed at the time the commission was earned the parties agreed to the sale before the listing expired the broker was the procuring cause of the sale Hint 101. A broker obtains an exclusive six percent listing for $40,000. The broker brings in a offer of $16,000. The offer angers the owner, who then leases the property for five year prior to the expiration of the listing. The broker is: entitled to a $1,200 comission entitled to a $900 commission entitled to a $2,400 comission not entitled to a commission Hint 102. A buyer gives an offer to purchase on February 1, requiring acceptance within 10 days. the buyer cannot withdrawn prior to February 12 none of these is true the buyer cannot withdrawn prior to February 11 the buyer cannot withdrawn before February 10 Hint 103. A seller sold property "as is." The broker knew the plumbing was in bad repair but did not inform the buyer. The buyer can sue: no one as the sale was "as is" none of these the broker no one as "as is" is really notice of a problem Hint 104. All of the following are natural hazards requiring disclosure except: weather area of potential flooding fire hazard earthquake fault zone 105. April signed a contract to buy Byron's property. Byron obtained April's signature by representing that the sale agreement was a petition to the city for street improvement. The purchase agreement would be: voidable at April's option voidable at April's or Byron's option valid void Hint 106. A buyer defaults on a purchase contract. The seller notifies the buyer that he has elected to rescind their agreement. Under these circumstances: the seller should hold the deposit until the property is resold, when damages can be determined. the seller should sue for both actual and punitive damages the buyer is entitled to the return of his deposit the seller may retain the deposit as liquidated damages Hint 107. A buyer of a single-family home is entitled to certification that: the home is in compliance with smoke detector laws both b and c water heater is properly braced windown security bars have been installed 108. According to the CAR standard real estate purchase contract, if the seller fails to deliver title: none of these the broker is liable for damages the buyer forfeits his or her deposit the buyer can terminate Hint 109. Amy agreed to buy Bert's horse for $100. Bert agreed to sell it fo r$100. Bert delivered the horse to Amy and Amy paid Bert $100. This is an: executed bilateral contract executory bilateral contract executory unilateral contract executed unilateral contract Hint 110. Which of the following is an offer? an option a tender a completed escrow a foreclosure Hint 111. A husband signs a contract to sell community real estate without his wife's signature. The contract would be: void valid illegal unenforceable Hint 112. A broker has a combination of a listing and an option. She exercises the option without disclosing that she has a buyer at a higher price. The broker: is guilty of fraud is not guilty of wrongdoing represented two parties without permission has made a secret profit Hint 113. Failure to perform as agreed under a contract is known as: novation breach illegal act damages 114. A listing cannot be terminated by the principal when: both a and c the agent has an interest coupled with the agency the agent has not breached the agreement the listing as not expired 115. Which of the following may recorded? all of these contracts of sale an exclusive agency listing an exclusive right to sell listing Hint 116. A minor cannot: pay income taxes appoint an agent any of these contract for purchase of personal property Hint 117. Clark leases Francine's store under an oral, one-year lease. After three months occupancy, Clark finds a less expensive rental. even though the lease was not binding because it was verbal, Clark is bound, as he treated the lease as being valid for three months Clark must give notice, as in periodic tenancy Clark is liable on the entire lease because the lease was not in writing, Clark can get out of it immediately Hint 118. A safety clause in a listing requires the broker to submit names of people with whom whe negotiated to the owner prior to the expiration of the listing. The broker inadvertently left out Edwin's name. One week after the listing expires, the owner sells to Edwin. the owner is not liable for any commission the owner is liable for half of the commission Edwin is liable for the commission the owner is liable for full commission Hint 119. The provision in a deposit receipt calling for forfeiture by the buyer of a deposit is known as: forteiture clause punitive damages none of these liquidated damages 120. Alan, a broker, obtains an offer from Bridget to buy Carl's house. After Carl accepts and the escrow instructions have been signed, both Bridget and Carl die. the agreement is binding on the estates of both Bridge and Carl Alan has earned his commission, but the deal cannot be completed. the agency and executory contract were canceled by death none of these is true Hint 121. A contract to sell real estate by a 17-year-old unemancipated girl is: illegal enforceable valid unenforceable Hint 122. Three people own a piece of property. A broker takes an exclusive listing to each of their places of business to get it signed. The broker must: give a copy to each when he or she signs give a copy to the first one who signs give one copy to any of the owners get them to sign at the same time 123. A seller accepts an offer but changes the escrow period. The broker notifies the buyer of acceptance. no contract has been made a unilateral contract has been made the buyer must submit a counteroffer a bilateral contract has been made Hint 124. After an offer is accepted, the seller dies. The seller's wife inherits the property. none of these is true the offer is voidable the wife can be forced to sell the offer is terminated Hint 125. A broker finds a buyer for his listed property at more than the listing price. He therefor buys the property himself and resells it. This is a: violation of Article VII secret profit violation of Article V violation of Article VI Hint 126. Two brokers agree verbally to split a commission. The agreement is: voidable void because of the Statute of Frauds unenforceable enforceable 127. A real estate commission is normally based on the: listing price owner's equity selling price cash involved Hint 128. An offer based on a $10,000 loan assumption was made and accepted. During escrow, it developed that the loan was for $9,000 not $10,000. the buyer can void the contract the seller must reduce the price by $1,000 the buyer must come up with $1,000 more in cash the seller must accept the buyer's note of $1,000 Hint 129. Harvey gives Jonas, a broker, an exclusive agency listing for three months. After one week, Harvey notifies Jonas in writing that he is terminating the agreement. The next day, Harvey signs an open listing with Keith, another broker. Lee, a sales person working for Keith, brings in an offer, which Harvey accepts. As to the commission. which of the following is true? Harvey was not entitled to list with keith because the other listing had not expired Harvey is liable to Jonas and Keith for the commission Jonas is not entitled to a commission because Harvey canceled the listing only Keith gets the commission Hint 130. As to an option, which of the following is true? the optionor must exercise it the optionee must exercise it none of these it is illegal if the option price is not money Hint 131. An astute broker would least likely spend his or her advertising dollars on: radio advertising ads in the Yellow Pages newspaper ads on open listings billboards Hint 132. A broker has an exclusive listing on a property that also provides the broker with an option to buy that property. The broker wishes to exercise the option. The broker: must obtain the seller's approval in writing must obtain the approval of the Department of Real Estate should forget it as he has violated his fiduciary duty must publish his intent for 30 days prior to exercising the option Hint 133. A prospective buyer signs an offer but refuses to give a deposit. Which of the following applies? refuse to present the offer inform the buyer that a deposit is required by law present the offer to the owner the offer as written cannot be accepted Hint 134. An owner refuses to convey property after signing her acceptance on a purchase contract. Specific performance can be enforced by: the purchaser either a or b the broker neither a nor b Hint 135. On an exclusive listing, a broker can be disciplined for: both b and c failure to attach a tax statement failure to include a definite termination date failure to give a copy to the owner 136. A $500 deposit is received on a $20,000 offer. The seller accepts with a six percent commission agreement. The buyer backs out before close of escrow. Assuming the CAR standard-form purchase contract was used, how much does the broker get if expenses were $130? $250 $185 $500 $200 Hint 137. Which of the following is true? a void contract can be enforced by one party only valid contract can be an unenforceable contract an illegal contract can be an enforceable contract "voidable" means "void unless validated" Hint 138. Arbitration under the CAR purchase contract shall be in accordance with: none of these the rules of the American Arbitration Association the Real Estate Commissioner's regulations the Administrative Procedures Act 139. All contracts require all of the following except: consideration an offer and acceptance a legal purpose a proper writing Hint 140. Abby, a broker, has a listing from Bruce, who has been declared insane, unknown to Abby, who acted in good faith. The listing is: void voidable all of these. illegal 141. The essential elements of an enforceable contract are: mutuality, written, competent parties, lawful object competency, mutual consent, lawful object, consideration communicated, written, competent parties, lawful object express, consideration, mutuality, lawful object Hint 142. Which of the following may be recorded? an option an exclusive right to sell listing none of these an open listing Hint 143. A broker fails to give the owner a copy of the open listing or to include a termination date. The broker then obtains an offer that is accepted by the owner. neither a nor b is true the broker is entitled to her commission the broker has not done anything wrong both a and b are true Hint 144. The seller defaults on an executed purchase contract. The broker is: not entitled to a commission entitled to a commission only on close of escrow entitled to half of the deposit after expenses entitled to a commission on default Hint 145. Enthusiasm of a licensee often results in painting an overly optimistic picture. This is known as: puffing coercion misrepresentation fraud Hint 146. An owner signs open listings on a parcel of land with five different brokers. the owner must pay a full commission to each of the brokers if the property is sold the brokers will split a commission five ways if any of them sell the property each broker has an opportunity to earn the entire commission the owner must pay the broker of the first listing entered into if the owner procures a buyer Hint 147. A purchase agreement signed by Mr. Jones alone calls for the title to be in Mr. and Mrs. Jone's Names as community property. The purchse agreement is: void illegal unenforceable valid Hint 148. Inadvertently, a deposit receipt is not filled in as to who pays for the standard policy of title insurance. The person responsible would then be: the broker the seller the buyer determined by local custom 149. A buyer must be notified about a military ordnance location that may contain explosives if within ___mile(s) of the property. 5 1 2 8 150. Marlene offers to buy Sean's farm. The accepted offer was contingent on Marlene's getting an $85,000 first trust deed on the farm. Marlene is obligated to go through with the purchase, as the loan is in substantial agreement with the offer Marlene would be obligated if Sean takes a $1,500 second trust deed both b and c are true Marlene is not required to make the purchase Hint