License Law and DRE Regulation Practice Question
Question
An escrow officer requests clarification from the broker involving team names. The parties need a practical answer before moving forward. Which answer best applies the rule? (Item 7)
Answer choices
- A. It is controlled only by local custom rather than by law, contract, or professional duty.
- B. It is valid only when the buyer pays cash and no lender is involved.
- C. Apply high-level rules that team names must not mislead the public.
- D. It prevents any later disclosure, even when new facts become known.
Correct Answer
C. Apply high-level rules that team names must not mislead the public.
Explanation
The correct answer is C because team names requires candidates to apply high-level rules that team names must not mislead the public. 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: License Law and DRE Regulation
- Objective: team names