Agency and License Law Practice Question
Question
A salesperson notices a possible compliance problem for the Virginia Real Estate Salesperson Exam involving fiduciary disclosure and Virginia Real Estate Board. Which response best applies the rule? (Item 167)
Answer choices
- A. A verbal understanding always replaces a written real estate requirement.
- B. The safest practice is to avoid written documentation so fewer questions are raised later.
- C. Tell the client material information relevant to the representation in a way that fits Virginia exam practice.
- D. A licensee may give legal conclusions instead of recommending qualified legal advice when uncertain.
Correct Answer
C. Tell the client material information relevant to the representation in a way that fits Virginia exam practice.
Explanation
The correct answer is C because fiduciary disclosure requires candidates to tell the client material information relevant to the representation. 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: fiduciary disclosure