Contracts, Finance, and Transfer Practice Question
Question
A client asks whether a fact should be disclosed for the Washington Real Estate Broker Exam involving statute of frauds and seller disclosure and environmental awareness. Which statement is most accurate for exam purposes? (Item 38)
Answer choices
- A. The affiliated licensee may handle the matter independently without broker responsibility.
- B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Washington exam practice.
- C. Local custom controls even when a statute, regulation, contract, or disclosure rule applies.
- D. The requirement matters only when the buyer obtains institutional financing.
Correct Answer
B. Recognize that many real estate agreements must be written to be enforceable in a way that fits Washington exam practice.
Explanation
The correct answer is B because statute of frauds requires candidates to recognize that many real estate agreements must be written to be enforceable. 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: statute of frauds