Your Client, Contracts, and Closing Practice Quiz

Question 1

What are the elements of an enforceable contract?

Answer 1

Mutual agreement

Genuine consent

Capacity of parties

Consideration

Question 2

Under which circumstances may a contract be terminated or discharged?

Answer 2

Breach of contract

Agreement

Frustration

Nonfulfillment of a condition

Performance

Question 3

Which is true of the dower act?

Answer 3

The Dower Act applies when either party has spent even one night in the property

Question 4

True or False: Errors in the purchase contract can be corrected when the lawyers draw up the formal documents

Answer 4

False

Contracts are legally binding

Question 5

The rights of the spouse is the definition of what set of rights?

Answer 5

Dower rights

Question 6

Best definition for the term duress?

Answer 6

When one party does not enter into a contract of their own free will

Question 7

True or False: The agent may place the interests of the client above all else expect the law.

Answer 7

True

Question 8

True or False: The duty of confidentiality survives the termination of an agency agreement or a change in brokerages by a licensee

Answer 8

True

Question 9

If the client is the seller in an agency relationship and is owed certain fiduciary duties, which of the following obligations does the agent owe to the buyer who is a customer?

Answer 9

To be honest, exercise care and skill and account for funds

To disclose any material latent defects

Question 10

In a transaction brokerage relationship, the agent has an obligation to disclose to both parties information concerning:

Answer 10

material latent defects and facts relevant to the buyer’s ability to buy

Question 11

What type of ownership include the following set of rights: The right to enter and use, to lease, to sell and to give away the real estate

Answer 11

Fee simple

Question 12

A lien on a property indicates?

Answer 12

Evidence of unpaid debt

Question 13

“Lines of longitude that run north and south” is the definition of which of the following terms?

Answer 13

Meridian

Question 14

The land use bylaw combines which two traditional methodsof land use controls

Answer 14

Zoning Control - Specifies in detail every aspect of how property within a particular area of the municipality may be used

Development control - allows each proposed development to be consider according to its own merit

Question 15

True or False: A development permit is required and discretionary use of a particular property?

Answer 15

True