Agency and License Law Practice Question
Question
A salesperson notices a possible compliance problem for the Massachusetts Real Estate Salesperson Exam involving disciplinary grounds and lead paint and consumer disclosure awareness. Which response best applies the rule? (Item 52)
Answer choices
- A. The party who complains first automatically receives the remedy requested.
- 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. Recognize fraud, misrepresentation, trust fund violations, and unlicensed activity as discipline risks in a way that fits Massachusetts exam practice.
Correct Answer
D. Recognize fraud, misrepresentation, trust fund violations, and unlicensed activity as discipline risks in a way that fits Massachusetts exam practice.
Explanation
The correct answer is D because disciplinary grounds requires candidates to recognize fraud, misrepresentation, trust fund violations, and unlicensed activity as discipline risks. The Massachusetts 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: hard
- Domain: Agency and License Law
- Objective: disciplinary grounds