Contracts, Finance, and Transfer Practice Question
Question
A license applicant is reviewing a practice scenario for the Washington Real Estate Broker Exam involving recording and seller disclosure and environmental awareness. Which statement is most accurate for exam purposes? (Item 51)
Answer choices
- A. Escrow or closing staff automatically assume all brokerage agency and disclosure duties.
- B. The client’s preference eliminates the need to disclose known material facts.
- C. Recognize constructive notice and priority effects of recording in a way that fits Washington exam practice.
- D. The party who complains first automatically receives the remedy requested.
Correct Answer
C. Recognize constructive notice and priority effects of recording in a way that fits Washington exam practice.
Explanation
The correct answer is C because recording requires candidates to recognize constructive notice and priority effects of recording. 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: recording