Contracts, Finance, and Transfer Practice Question
Question
A supervising broker is reviewing a transaction file for the Oregon Real Estate Broker Exam involving statute of frauds and seller property disclosure awareness. Which statement is most accurate for exam purposes? (Item 38)
Answer choices
- A. The requirement matters only when the buyer obtains institutional financing.
- B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Oregon exam practice.
- C. The affiliated licensee may handle the matter independently without broker responsibility.
- D. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
Correct Answer
B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Oregon exam practice.
Explanation
The correct answer is B because statute of frauds requires candidates to recognize that many real estate agreements must be written to be enforceable. 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: Contracts, Finance, and Transfer
- Objective: statute of frauds