Contracts, Finance, and Transfer Practice Question
Question
An agent compares two similar exam concepts for the Utah Real Estate Sales Agent Exam involving recording and state forms and disclosure awareness. Which answer best reduces risk? (Item 105)
Answer choices
- A. Recognize constructive notice and priority effects of recording in a way that fits Utah exam practice.
- B. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- C. The client’s preference eliminates the need to disclose known material facts.
- D. The party who complains first automatically receives the remedy requested.
Correct Answer
A. Recognize constructive notice and priority effects of recording in a way that fits Utah exam practice.
Explanation
The correct answer is A because recording requires candidates to recognize constructive notice and priority effects of recording. 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: easy
- Domain: Contracts, Finance, and Transfer
- Objective: recording