Contracts, Finance, and Transfer Practice Question
Question
A license applicant is reviewing a practice scenario for the Massachusetts Real Estate Salesperson Exam involving inspection contingency and broker-salesperson supervision. Which statement is most accurate for exam purposes? (Item 28)
Answer choices
- A. The client’s preference eliminates the need to disclose known material facts.
- B. The party who complains first automatically receives the remedy requested.
- C. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- D. Recognize buyer investigation rights and repair negotiation concepts in a way that fits Massachusetts exam practice.
Correct Answer
D. Recognize buyer investigation rights and repair negotiation concepts in a way that fits Massachusetts exam practice.
Explanation
The correct answer is D because inspection contingency requires candidates to recognize buyer investigation rights and repair negotiation concepts. 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: Contracts, Finance, and Transfer
- Objective: inspection contingency