Agency and License Law Practice Question
Question
A closing coordinator flags an issue before settlement for the Arizona Real Estate Salesperson Exam involving agency disclosure and Arizona Department of Real Estate. Which response best applies the rule? (Item 170)
Answer choices
- A. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- B. Provide agency relationship disclosures when required by state practice in a way that fits Arizona exam practice.
- C. The client’s preference eliminates the need to disclose known material facts.
- D. The party who complains first automatically receives the remedy requested.
Correct Answer
B. Provide agency relationship disclosures when required by state practice in a way that fits Arizona exam practice.
Explanation
The correct answer is B because agency disclosure requires candidates to provide agency relationship disclosures when required by state practice. The Arizona reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: medium
- Domain: Agency and License Law
- Objective: agency disclosure