Contracts, Finance, and Transfer Practice Question
Question
A closing coordinator flags an issue before settlement for the Massachusetts Real Estate Salesperson Exam involving counteroffer and Massachusetts Board of Registration. Which statement is the best answer? (Item 114)
Answer choices
- A. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
- B. Recognize that a counteroffer rejects the prior offer and proposes new terms in a way that fits Massachusetts exam practice.
- C. A verbal understanding always replaces a written real estate requirement.
- D. The safest practice is to avoid written documentation so fewer questions are raised later.
Correct Answer
B. Recognize that a counteroffer rejects the prior offer and proposes new terms in a way that fits Massachusetts exam practice.
Explanation
The correct answer is B because counteroffer requires candidates to recognize that a counteroffer rejects the prior offer and proposes new terms. 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: counteroffer