Fair Housing and Practice Practice Question
Question
A buyer and seller disagree about a transaction term involving environmental hazards. Which response best protects the client and keeps the transaction compliant? (Item 102)
Answer choices
- A. It removes the need for written disclosure if the licensee believes the client already knows.
- B. Recognize disclosure concerns for hazards such as asbestos, lead, mold, or contamination.
- C. It can be ignored if the transaction is expected to close quickly.
- D. It requires the licensee to favor the other party over the licensee’s own client.
Correct Answer
B. Recognize disclosure concerns for hazards such as asbestos, lead, mold, or contamination.
Explanation
The correct answer is B because environmental hazards requires candidates to recognize disclosure concerns for hazards such as asbestos, lead, mold, or contamination. 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: easy
- Domain: Fair Housing and Practice
- Objective: environmental hazards