License Law and Agency Practice Question
Question
A property owner asks how a rule affects marketability in a New York real estate transaction involving advertising. Which statement is most accurate for exam purposes? (Item 44)
Answer choices
- A. The requirement matters only if the buyer uses lender financing.
- B. The salesperson may handle the matter independently without broker involvement when compensation is expected.
- C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- D. Avoid misleading advertising and identify broker affiliation when required.
Correct Answer
D. Avoid misleading advertising and identify broker affiliation when required.
Explanation
The correct answer is D because advertising requires candidates to avoid misleading advertising and identify broker affiliation when required. The other options rely on unsafe assumptions about custom, oral agreement, escrow, client preference, or independent salesperson authority and do not reflect sound New York exam practice.
Question details
- Difficulty: hard
- Domain: License Law and Agency
- Objective: advertising