Legal Aspects of Real Estate Final Exam Flashcards

Legal Aspects of Real Estate (Final Exam) Flashcards

31. A month-to-month tenancy is a type of:A. periodic

tenancyB. term tenancyC. tenancy at willD. tenancy at sufferance A

• Broker Jones operates her brokerage business under

the name Glorious Realty. She registered a fictitious business name statement for the name Glorious Realty; her real estate license is issued in her name, Tabitha Jones.A. This is legal, because she took the necessary step of registering her fictitious business nameB. Broker Jones has violated the license law; her real estate license must be issued under the fictitious nameC. Broker Jones has done nothing wrong, because all she needs is a valid real estate licenseD. This is legal, as long as Broker Jones uses the name Glorious Realty in all her advertising and business dealings B

• Which doctrine states that appellate court cases

establish precedents, and judges deciding subsequent cases should follow those precedents? A. Caveat emptor

• Res ipsa loquitur C. Stare decisis D. Sui generis

C

• Claire sues John and is awarded a judgment for

$10,000. Claire lives in Rockingham County, New Hampshire; John lives in Ocean County, New Jersey, where he owns property. Which of the following statements is true? A. To collect her judgment, Claire must file a judgment lien in Rockingham County B. To collect her judgment, Claire must file a judgment lien in Ocean County

• To collect her judgment, Claire must file an abstract of

judgment in Rockingham County D. None of the above B

18. The right of survivorship always applies to:A.

community propertyB. joint tenancyC. ownership in severaltyD. tenancy in common B

• Which type of business owner has personal financial

liability for the debts of the business?A. Corporate shareholderB. General partnerC. Limited partnerD. LLC member B

64. According to the imputed knowledge rule: A. the

principal and agent are held liable only for what they actually know B. if the principal or agent has information that should be communicated to the other, then each is considered to know that information, even if they don't C.the principal is liable for what the agent knows, but the

agent is not liable for what the principal knows D. the agent is liable for what the principal knows, but the principal is not liable for what the agent knows B

• In California, the statute of limitations requires that a

lawsuit over a written contract be brought within ____ years of the breach.A. twoB. fourC. eightD. ten B

• An agency relationship is a fiduciary relationship, which

means that: A. the agent occupies a special position of

trust in regard to the principal B. the agent owes special legal duties to the principal that he doesn't owe to third parties C. the agent's duty to the principal is more important than the agent's own interests D. All of the above D

• To record a mechanic's lien, the notice of completion

and the claim of lien must be: A. filed within 120 days of

project completion B. served on the parties and posted on the property C. acknowledged and delivered D. filed at the recorder's office in the county where the property is located D

86. There are two basic types of title insurance coverage:

standard and extended. Unlike standard coverage,

extended coverage offers protection against: A. a deed with

a forged signature B. a deed lacking a necessary spousal signature C. a deed signed by an incompetent grantor D.an adverse possession claim D

• Which method of land description uses a series of grids

based on fixed survey markers? A. Government survey B.Lot and block C. Metes and bounds D. Recorded map A

• The federal Fair Housing Act provides exemptions for

all of the following kinds of transactions except:A. the sale

or rental of a single-family home by a private ownerB. a room rental in an owner-occupied residenceC. any sale or rental where the owner is represented by a licensed real estate brokerD. the rental of noncommercial lodgings by a religious organization C

• A private restriction runs with the land. This means

that:A. future owners must follow the restriction only if it is

mentioned in the deedB. future owners must obey the restriction even if it's not mentioned in the deedC. future owners can remove the restriction by recording a release and satisfactionD. future owners can ignore the restriction if a less-strict zoning law addresses the same issue B

• Suppose an agent has no express authority when she

commits an act that benefits the principal, but the principal approves the act after the fact. This creates an agency

by:A. estoppelB. express agreementC. implicationD.

ratification D

• Which of the following parties can be named grantee of

a deed?A. A mentally incompetent senior citizenB. A minor childC. A valid corporationD. All of the above D

• Which of the following is not always a requirement for a

valid contract?A. ConsiderationB. Contractual capacityC. In writingD. Mutual consent C

• Most California lenders prefer a deed of trust to a

mortgage because:A. a deed of trust offers more protection

to borrowers in case of defaultB. a deed of trust requires a larger downpaymentC. a deed of trust allows nonjudicial foreclosureD. a deed of trust allows judicial foreclosure C