Agency Relationships and Disclosures Practice Question
Question
A buyer and seller disagree about a transaction term involving agency disclosure timing. Which response best protects the client and keeps the transaction compliant? (Item 84)
Answer choices
- A. It is primarily a tax rule with no effect on brokerage practice.
- B. It removes the need for written disclosure if the licensee believes the client already knows.
- C. It can be ignored if the transaction is expected to close quickly.
- D. Provide required agency relationship disclosures at the proper point in a residential transaction.
Correct Answer
D. Provide required agency relationship disclosures at the proper point in a residential transaction.
Explanation
The correct answer is D because agency disclosure timing requires candidates to provide required agency relationship disclosures at the proper point in a residential transaction. The other options overstate the effect of custom, oral agreement, escrow, or independent salesperson action and do not reflect safe California exam practice.
Question details
- Difficulty: medium
- Domain: Agency Relationships and Disclosures
- Objective: agency disclosure timing