Contracts, Transfer, and Escrow Practice Question
Question
A salesperson is explaining a concept to a client involving specific performance. What should a California real estate licensee understand? (Item 50)
Answer choices
- A. It makes oral promises enforceable in every real estate transaction.
- B. Identify an equitable remedy compelling performance of a contract.
- C. It is optional whenever both parties verbally agree to proceed.
- D. It allows a salesperson to act independently of the responsible broker.
Correct Answer
B. Identify an equitable remedy compelling performance of a contract.
Explanation
The correct answer is B because specific performance requires candidates to identify an equitable remedy compelling performance of a contract. 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: hard
- Domain: Contracts, Transfer, and Escrow
- Objective: specific performance