Agency and License Law Practice Question
Question
A buyer asks a licensee for an exam-focused explanation for the Ohio Real Estate Salesperson Exam involving agency disclosure and agency disclosure and brokerage relationship practice. Which statement is most accurate for exam purposes? (Item 188)
Answer choices
- A. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- B. The requirement matters only when the buyer obtains institutional financing.
- C. The affiliated licensee may handle the matter independently without broker responsibility.
- D. Provide agency relationship disclosures when required by state practice in a way that fits Ohio exam practice.
Correct Answer
D. Provide agency relationship disclosures when required by state practice in a way that fits Ohio exam practice.
Explanation
The correct answer is D because agency disclosure requires candidates to provide agency relationship disclosures when required by state practice. The Ohio 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: Agency and License Law
- Objective: agency disclosure