Chapter Twelve Pt. 4 Flashcards

Chapter Twelve Pt. 4 Flashcards A consumer that has been defrauded in a real estate transaction Which of the following persons may file a claim and collect from the Virginia Transaction Recovery Fund?Automatically revoke the broker's license If a payment is made on a broker's behalf from the Transaction Recovery Fund, what action does the Board take?The Real Estate Board could withhold issuance of a new license, forever Which of the following statements is true if a broker has repaid the amounts awarded from the Transaction Recovery Fund?File a claim against to the licensee to recover the amount paid from the Fund If the Board honors a claim and authorizes payment from the Transaction Recovery Fund, the claimant subrogates

his rights to the Board. The Board now has the right to:

The license will be automatically revoked If the Board has authorized payment from the Transaction Recovery Fund, what is the effect for the licensee who committed the misconduct?$20,000In a single transaction, what is the maximum amount that a person can collect from the Transaction Recovery Fund due to licensee misconduct?The Real Estate BoardIf a person wants to make a claim from the Transaction Recovery Fund, where should this claim be filed?The claimant must have gone after any assets and property belonging to the debtor If a judgment has been awarded to a claimant, what must the claimant do before the Board will authorize payment from the Transaction Recovery Fund?Kerra filed suit against the local Association of RealtorsKerra the Consumer has filed a claim for payment from the Transaction Recovery Fund. Which of the following statements must be incorrect?Filed a claim against the salesperson in a court of competent jurisdiction Kathy the Consumer has filed a claim for payment from the Transaction Recovery Fund. The reason for the claim is to reimburse a loss sustained after a salesperson made a gross misrepresentation. In order for Kathy to collect, she

must have already:

Real Estate BoardClaims for payment from the Transaction Recovery Fund

are filed with the:

$20 in a two year periodNew licensee applicants are required to pay into the Transaction Recovery Fund. If necessary, the Board may

reassess licensees:

A claimant may collect up to $20,000Which of the following statements about the Transaction Recovery Fund is correct?The claimant assigns his rights to the Board, to the extent of the amount of money paid by the Fund When a claim is paid from the Transaction Recovery fund, which of the following statements is true?A real estate transactionA consumer may file a Transaction Recovery Fund claim for a loss sustained as the result of a licensee's fraudulent

act. In order to receive payment, this claim must be in

connection with:

$20If the Transaction Recovery Fund falls below a statutory minimum, licensees may be assessed to restore the Fund.What is the maximum that one licensee may be assessed during a two-year period?Does not pay the Transaction Recovery Fund assessmentA real estate license could be suspended without

investigation if the licensee:

For failure to pay an assessment to the TRF A license may be suspended without benefit of a hearing: No oneHarry is a broker. He works out a deal with Larry (a developer), Darrell (a contractor), and Tony (a mortgage banker). The deal states that Harry will sell all of the houses that Darrell built on Larry's land. After that, Tony would handle the mortgages of any buyers through his bank. Harry sells three houses, then runs off with all the funds. Larry, Darrell, and Tony all file claims for payment from the Transaction Recovery Fund. Who is most likely to collect?$20,000If the named licensee is involved in multiple transaction violations, what is the maximum that a person may collect from the Transaction Recovery Fund?Automatic revocation of the real estate license An award from the Transaction Recovery Fund will result

in:

A licensed salesperson, to recover money that his broker owes, A lender, to recover losses sustained due to a real estate agent's misrepresentation, A tenant, seeking to recover a security deposit from his landlord Which of the following persons could file a claim for payment from the Transaction Recovery Fund?Reimburse financial losses caused by licensee misconductThe purpose of the Transaction Recovery Fund is to: $400,000The Real Estate Board can re-assess licensees if the

Transaction Recovery Fund's balance falls below:

$400,000The minimum balance of the Virginia Real Estate

Transaction Recovery Fund is:

An assessment from all licensees to restore the fund to the minimum balance When the Transaction Recovery Fund balance falls below

a statutory minimum, it results in:

$100,000What is the maximum amount that can be paid from the Transaction Recovery Fund for claims against the same licensee during a two year period?