Agency and License Law Practice Question
Question
A buyer asks a licensee for an exam-focused explanation for the Utah Real Estate Sales Agent Exam involving advertising compliance and sales agent brokerage affiliation. Which statement is most accurate for exam purposes? (Item 28)
Answer choices
- A. The affiliated licensee may handle the matter independently without broker responsibility.
- B. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- C. The requirement matters only when the buyer obtains institutional financing.
- D. Avoid misleading ads and include required brokerage or license identification in a way that fits Utah exam practice.
Correct Answer
D. Avoid misleading ads and include required brokerage or license identification in a way that fits Utah exam practice.
Explanation
The correct answer is D because advertising compliance requires candidates to avoid misleading ads and include required brokerage or license identification. The Utah 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: advertising compliance