Agency and License Law Practice Question
Question
A closing coordinator flags an issue before settlement for the Illinois Real Estate Broker Exam involving license-required activity and Illinois broker licensing structure. Which answer best reduces risk? (Item 109)
Answer choices
- A. Identify acts requiring a license when performed for compensation in a way that fits Illinois exam practice.
- B. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- C. The client’s preference eliminates the need to disclose known material facts.
- D. The party who complains first automatically receives the remedy requested.
Correct Answer
A. Identify acts requiring a license when performed for compensation in a way that fits Illinois exam practice.
Explanation
The correct answer is A because license-required activity requires candidates to identify acts requiring a license when performed for compensation. The Illinois reference keeps the scenario tied to state licensing practice, while the other options rely on unsafe assumptions about oral custom, escrow, client preference, independent licensee authority, or ignoring written duties.
Question details
- Difficulty: easy
- Domain: Agency and License Law
- Objective: license-required activity