Champions - Law Of Contracts Questions
And Answers 2023
In a residential lease with a "right of first refusal" provision: - Correct Answer-The tenant
has the right to match or better any offer the landlord receives to prevent the property
from being sold to someone else
The four ECONOMIC characteristics of land are: - Correct Answer-1) Scarcity
2) Modification
3) Situs
4) Fixity
GIVES LAND ITS VALUE
The Buyer and Seller Temporary Residential Lease forms may be used for a lease
period not to exceed: - Correct Answer-90 days
A contract that is said to lack mutuality because only one party is obligated to perform is
a________ contract. - Correct Answer-Unilateral Contract
According to the Deceptive Trade Practices Act (DTPA), brokerage falls under the
category of ________. - Correct Answer-Services
The five essential elements of a valid and enforceable contract are: - Correct Answer-
COLIC
1. Component parties
2. Offer and acceptance
3. Legal purpose
4. In writing
5. Consideration
________ law is a body of law based on "common sense" and local custom. - Correct
Answer-Common Law
A(n) ________ is a business venture that is owned by one individual. - Correct Answer-
Sole proprietorship
A(n) __________ is an agreement between two or more parties to do something or to
refrain from doing something. - Correct Answer-Contract
The fact that the value is affected by manmade changes to the land. - Correct Answer-
Modifications
, Jake (Seller) and Sarah (Buyer) entered into a contract for the sale of Jake's personal
residence. In the contract, Jake promised to deliver a seller's disclosure of property
condition within 5 days of the effective date of the contract. Jake never delivered the
disclosure as promised. Which of the following statements is true? - Correct Answer-
Sarah has the right to terminate the contract and receive a refund of earnest money
prior to closing
Owners within a __________________ do not actually own a specific unit. The entire
cooperative complex is
owned by a corporation. Those who wish to live in the cooperative buy shares in the
corporation, and
receive a proprietary lease on the unit. When listing and selling cooperatives, a real
estate license is often
not required because the sale of a cooperative is the sale of stock rather than real
property. - Correct Answer-Cooperative
________ is the right of the government to regulate and control the way land is used. -
Correct Answer-Police Power
A claim, lien, charge, or liability attached to and binding real property is a(n) ________. -
Correct Answer-Encumbrance
An example(s) of an appurtenance would be: - Correct Answer-Easement
The four major types of listing agreements are, exclusive agency, net listing, exclusive
right to sell and __________. - Correct Answer-Open listing
*Know that with a NET LISTING, the real estate broker's commission is the difference
between the minimum net established by the seller and the price that the buyer is willing
to pay.
The four categories of leasehold estates are: estate for years, tenancy at sufferance,
tenancy at will and ________. - Correct Answer-Periodic tenancy or periodic estate
If a broker receives more than one offer on a property: - Correct Answer-All must be
presented to the seller unless the seller has instructed the broker otherwise; no offer
has priority of presentation over another
___________________ is deposited in an escrow account when the contract is signed
by all parties and acceptance is
communicated. It's negotiable - Correct Answer-Earnest money
License holders should ensure that any _____________ ______________ added to a
contract are factual statements that do not change the legal effect of the contact -
Correct Answer-Special Provisions
And Answers 2023
In a residential lease with a "right of first refusal" provision: - Correct Answer-The tenant
has the right to match or better any offer the landlord receives to prevent the property
from being sold to someone else
The four ECONOMIC characteristics of land are: - Correct Answer-1) Scarcity
2) Modification
3) Situs
4) Fixity
GIVES LAND ITS VALUE
The Buyer and Seller Temporary Residential Lease forms may be used for a lease
period not to exceed: - Correct Answer-90 days
A contract that is said to lack mutuality because only one party is obligated to perform is
a________ contract. - Correct Answer-Unilateral Contract
According to the Deceptive Trade Practices Act (DTPA), brokerage falls under the
category of ________. - Correct Answer-Services
The five essential elements of a valid and enforceable contract are: - Correct Answer-
COLIC
1. Component parties
2. Offer and acceptance
3. Legal purpose
4. In writing
5. Consideration
________ law is a body of law based on "common sense" and local custom. - Correct
Answer-Common Law
A(n) ________ is a business venture that is owned by one individual. - Correct Answer-
Sole proprietorship
A(n) __________ is an agreement between two or more parties to do something or to
refrain from doing something. - Correct Answer-Contract
The fact that the value is affected by manmade changes to the land. - Correct Answer-
Modifications
, Jake (Seller) and Sarah (Buyer) entered into a contract for the sale of Jake's personal
residence. In the contract, Jake promised to deliver a seller's disclosure of property
condition within 5 days of the effective date of the contract. Jake never delivered the
disclosure as promised. Which of the following statements is true? - Correct Answer-
Sarah has the right to terminate the contract and receive a refund of earnest money
prior to closing
Owners within a __________________ do not actually own a specific unit. The entire
cooperative complex is
owned by a corporation. Those who wish to live in the cooperative buy shares in the
corporation, and
receive a proprietary lease on the unit. When listing and selling cooperatives, a real
estate license is often
not required because the sale of a cooperative is the sale of stock rather than real
property. - Correct Answer-Cooperative
________ is the right of the government to regulate and control the way land is used. -
Correct Answer-Police Power
A claim, lien, charge, or liability attached to and binding real property is a(n) ________. -
Correct Answer-Encumbrance
An example(s) of an appurtenance would be: - Correct Answer-Easement
The four major types of listing agreements are, exclusive agency, net listing, exclusive
right to sell and __________. - Correct Answer-Open listing
*Know that with a NET LISTING, the real estate broker's commission is the difference
between the minimum net established by the seller and the price that the buyer is willing
to pay.
The four categories of leasehold estates are: estate for years, tenancy at sufferance,
tenancy at will and ________. - Correct Answer-Periodic tenancy or periodic estate
If a broker receives more than one offer on a property: - Correct Answer-All must be
presented to the seller unless the seller has instructed the broker otherwise; no offer
has priority of presentation over another
___________________ is deposited in an escrow account when the contract is signed
by all parties and acceptance is
communicated. It's negotiable - Correct Answer-Earnest money
License holders should ensure that any _____________ ______________ added to a
contract are factual statements that do not change the legal effect of the contact -
Correct Answer-Special Provisions
