Agency and License Law Practice Question
Question
A client asks whether a fact should be disclosed for the New Jersey Real Estate Salesperson Exam involving advertising compliance and New Jersey Real Estate Commission. Which statement is most accurate for exam purposes? (Item 118)
Answer choices
- A. The affiliated licensee may handle the matter independently without broker responsibility.
- B. Avoid misleading ads and include required brokerage or license identification in a way that fits New Jersey exam practice.
- C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- D. The requirement matters only when the buyer obtains institutional financing.
Correct Answer
B. Avoid misleading ads and include required brokerage or license identification in a way that fits New Jersey exam practice.
Explanation
The correct answer is B because advertising compliance requires candidates to avoid misleading ads and include required brokerage or license identification. The New Jersey 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: Agency and License Law
- Objective: advertising compliance