Contracts, Finance, and Transfer Practice Question
Question
A supervising broker is reviewing a transaction file for the Washington Real Estate Broker Exam involving specific performance and Washington broker licensing structure. Which answer best reduces risk? (Item 174)
Answer choices
- A. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- B. Recognize a court order requiring contract performance in appropriate cases in a way that fits Washington exam practice.
- C. The requirement matters only when the buyer obtains institutional financing.
- D. The affiliated licensee may handle the matter independently without broker responsibility.
Correct Answer
B. Recognize a court order requiring contract performance in appropriate cases in a way that fits Washington exam practice.
Explanation
The correct answer is B because specific performance requires candidates to recognize a court order requiring contract performance in appropriate cases. The Washington 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: Contracts, Finance, and Transfer
- Objective: specific performance