Contracts, Finance, and Transfer Practice Question
Question
An agent compares two similar exam concepts for the Pennsylvania Real Estate Salesperson Exam involving recording and Pennsylvania Real Estate Commission. Which statement is the best answer? (Item 177)
Answer choices
- A. Recognize constructive notice and priority effects of recording in a way that fits Pennsylvania exam practice.
- B. The party who complains first automatically receives the remedy requested.
- C. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- D. The client’s preference eliminates the need to disclose known material facts.
Correct Answer
A. Recognize constructive notice and priority effects of recording in a way that fits Pennsylvania exam practice.
Explanation
The correct answer is A because recording requires candidates to recognize constructive notice and priority effects of recording. 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: easy
- Domain: Contracts, Finance, and Transfer
- Objective: recording