Contracts, Finance, and Transfer Practice Question
Question
An agent compares two similar exam concepts for the Indiana Real Estate Broker Exam involving statute of frauds and Indiana Real Estate Commission. Which answer best reduces risk? (Item 2)
Answer choices
- A. The party who complains first automatically receives the remedy requested.
- B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Indiana exam practice.
- C. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- D. The client’s preference eliminates the need to disclose known material facts.
Correct Answer
B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Indiana exam practice.
Explanation
The correct answer is B because statute of frauds requires candidates to recognize that many real estate agreements must be written to be enforceable. The Indiana 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: medium
- Domain: Contracts, Finance, and Transfer
- Objective: statute of frauds