Contracts, Transfer, and Escrow Practice Question
Question
A buyer and seller disagree about a transaction term involving exclusive right to sell. Which response best protects the client and keeps the transaction compliant? (Item 65)
Answer choices
- A. Identify the listing type that generally earns commission regardless of who finds the buyer.
- B. It allows a salesperson to act independently of the responsible broker.
- C. It shifts all responsibility to escrow and eliminates the broker’s duties.
- D. It makes oral promises enforceable in every real estate transaction.
Correct Answer
A. Identify the listing type that generally earns commission regardless of who finds the buyer.
Explanation
The correct answer is A because exclusive right to sell requires candidates to identify the listing type that generally earns commission regardless of who finds the buyer. 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: Contracts, Transfer, and Escrow
- Objective: exclusive right to sell