Agency and License Law Practice Question
Question
A salesperson notices a possible compliance problem for the Tennessee Affiliate Broker Exam involving advertising compliance and agency and property condition disclosure practice. What should the licensee understand? (Item 46)
Answer choices
- A. A verbal understanding always replaces a written real estate requirement.
- B. Avoid misleading ads and include required brokerage or license identification in a way that fits Tennessee exam practice.
- C. The safest practice is to avoid written documentation so fewer questions are raised later.
- D. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
Correct Answer
B. Avoid misleading ads and include required brokerage or license identification in a way that fits Tennessee exam practice.
Explanation
The correct answer is B because advertising compliance requires candidates to avoid misleading ads and include required brokerage or license identification. The Tennessee 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: advertising compliance