Agency and License Law Practice Question
Question
A broker is correcting a new licensee’s misunderstanding for the Pennsylvania Real Estate Salesperson Exam involving consumer complaints and state agreement and disclosure practice. Which response best applies the rule? (Item 108)
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. Recognize the role of the state regulator in complaint handling and enforcement in a way that fits Pennsylvania exam practice.
Correct Answer
D. Recognize the role of the state regulator in complaint handling and enforcement in a way that fits Pennsylvania exam practice.
Explanation
The correct answer is D because consumer complaints requires candidates to recognize the role of the state regulator in complaint handling and enforcement. The Pennsylvania 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: consumer complaints