Agency and License Law Practice Question

Question

A broker is correcting a new licensee’s misunderstanding for the Oregon Real Estate Broker Exam involving commission payment and Oregon Real Estate Agency. Which response best applies the rule? (Item 14)

Answer choices

  1. A. The affiliated licensee may handle the matter independently without broker responsibility.
  2. B. Recognize that affiliated licensees are usually paid through their broker in a way that fits Oregon exam practice.
  3. C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
  4. D. The requirement matters only when the buyer obtains institutional financing.

Correct Answer

B. Recognize that affiliated licensees are usually paid through their broker in a way that fits Oregon exam practice.

Explanation

The correct answer is B because commission payment requires candidates to recognize that affiliated licensees are usually paid through their broker. The Oregon 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: commission payment

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