Agency and License Law Practice Question
Question
A license applicant is reviewing a practice scenario for the Massachusetts Real Estate Salesperson Exam involving commission payment and Massachusetts Board of Registration. Which statement is the best answer? (Item 68)
Answer choices
- A. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- B. The client’s preference eliminates the need to disclose known material facts.
- C. The party who complains first automatically receives the remedy requested.
- D. Recognize that affiliated licensees are usually paid through their broker in a way that fits Massachusetts exam practice.
Correct Answer
D. Recognize that affiliated licensees are usually paid through their broker in a way that fits Massachusetts exam practice.
Explanation
The correct answer is D because commission payment requires candidates to recognize that affiliated licensees are usually paid through their broker. 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: commission payment