Contracts, Finance, and Transfer Practice Question
Question
An agent compares two similar exam concepts for the Massachusetts Real Estate Salesperson Exam involving statute of frauds and lead paint and consumer disclosure awareness. What should the licensee understand? (Item 146)
Answer choices
- A. The safest practice is to avoid written documentation so fewer questions are raised later.
- B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Massachusetts exam practice.
- C. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
- D. A verbal understanding always replaces a written real estate requirement.
Correct Answer
B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Massachusetts 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 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: medium
- Domain: Contracts, Finance, and Transfer
- Objective: statute of frauds