Agency and License Law Practice Question
Question
A salesperson notices a possible compliance problem for the Virginia Real Estate Salesperson Exam involving license-required activity and agency disclosure and brokerage relationship duties. Which response best applies the rule? (Item 127)
Answer choices
- A. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
- B. A verbal understanding always replaces a written real estate requirement.
- C. Identify acts requiring a license when performed for compensation in a way that fits Virginia exam practice.
- D. The safest practice is to avoid written documentation so fewer questions are raised later.
Correct Answer
C. Identify acts requiring a license when performed for compensation in a way that fits Virginia exam practice.
Explanation
The correct answer is C because license-required activity requires candidates to identify acts requiring a license when performed for compensation. The Virginia 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: license-required activity