Contracts, Finance, and Transfer Practice Question
Question
A closing coordinator flags an issue before settlement for the Massachusetts Real Estate Salesperson Exam involving escrow and Massachusetts Board of Registration. Which statement is most accurate for exam purposes? (Item 124)
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. Identify neutral handling of funds and documents under written instructions in a way that fits Massachusetts exam practice.
Correct Answer
D. Identify neutral handling of funds and documents under written instructions in a way that fits Massachusetts exam practice.
Explanation
The correct answer is D because escrow requires candidates to identify neutral handling of funds and documents under written instructions. 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: escrow