LA License Law Flashcards
(930 cards)
1
Q
A person who engages the professional advice and services of a licensee as his
agent is known as the
Select one:
A. client
B. customer
C. seller
D. buyer
A
A. client
2
Q
A licensed person whose license has been transferred to inactive status is
Select one:
A. an active licensee.
B. not authorized to sell real estate.
C. not licensed.
D. this is illegal
A
B. not authorized to sell real estate.
3
Q
A written agreement signed by the owner of real estate authorizing a broker to
offer their property for sale or lease is a:
Select one:
a. sales contract.
b. purchase agreement.
c. listing agreement.
d. property agreement.
A
c. listing agreement.
4
Q
The sponsoring broker for a licensed corporation, limited liability company, or
partnership is the
Select one:
A. qualifying broker
B. associate broker
C. limited broker
D. designated broker
A
A. qualifying broker
5
Q
The term “real estate activity” includes which of the following?
Select one:
A. Selling or purchasing
B. Listing property for sale
C. Managing
D. All of the above
A
D. All of the above
6
Q
A person other than an associate broker, who is sponsored by a real estate
broker is called a/an:
Select one:
a. Real Estate Salesperson
b. Qualifying Salesperson
c. Qualifying Licensee
d. Timeshare Registrant
A
a. Real Estate Salesperson
7
Q
When is the Real Estate Commission allowed to inspect the records at the
offices of licensees or registrants?
Select one:
a. Between the hours of 9:00 AM and 4:00 PM, except on week-ends and
holidays
b. Only upon subpoena by a court of law
c. By appointment only
d. At the end of each month
A
a. Between the hours of 9:00 AM and 4:00 PM, except on week-ends and
holidays
8
Q
Who is responsible for adopting the Rules & Regulations of the Real Estate
Commission?
Select one:
a. The Commissioners.
b. The staff of the Real Estate Commission. c. The governor.
d. The executive director of the Real Estate Commission.
A
a. The Commissioners.
9
Q
How is the executive director of the Real Estate Commission selected?
Select one:
a. He/she is appointed by the Commissioners.
b. He/she is appointed by the governor.
c. It is an elected position.
d. He/she must apply to the Civil Service Board.
A
a. He/she is appointed by the Commissioners.
10
Q
How many terms may a commissioner serve?
Select one:
a. one six year term
b. two six year terms
c. one four year term
d. an unlimited number of terms
A
a. one six year term
11
Q
An individual or institution that offers real estate continuing education courses
is known as a/an:
Select one:
a. Real Estate Vendor.
b. Real Estate School.
c. Real Estate Coordinator.
d. Real Estate Manager.
A
a. Real Estate Vendor.
12
Q
Putting personal funds and funds belonging to other persons in one mass or
mixing the funds together so they cannot be differentiated is known as:
Select one:
a. commingling.
b. melding.
c. subjugation.
d. entanglement.
A
a. commingling.
13
Q
A real estate broker who holds a salesperson’s license is a:
Select one:
A. qualifying broker
B. sponsoring broker
C. manager
D. associate broker
A
B. sponsoring broker
14
Q
A franchise agreement allows a real estate broker to use registered trademarks
and other advertising tools to create a common identity among several brokers
nationally or regionally for marketing purposes.
Select one:
True
False
A
True
15
Q
A person who holds a broker’s license but is sponsored by another broker is a:
Select one:
A. salesperson
B. associate broker
C. individual broker
D. This is not legal
A
B. associate broker
16
Q
The term Real Estate includes what type/s of properties?
Select one:
a. Land
b. Condominiums
c. Leaseholds
d. All of the above
A
d. All of the above
17
Q
Commissioners are appointed for a term of 2 years.
Select one:
True
False
A
False
18
Q
How are the members of the Commission chosen?
Select one:
A. Appointed by the governor.
B. Elected
C. Appointed by the director of the Commission.
D. Hired through the Civil Service
A
A. Appointed by the governor.
19
Q
How many “at large” members of the Commission are there?
Select one:
a. Two
b. Four
c. Seven
d. Eleven
A
a. Two
20
Q
The Commission has the power to:
Select one:
A. issue licenses, registrations, and certificates.
B. censure licensees, registrants, and certificate holders.
C. suspend or revoke licenses, registrations, and certificates.
D. All three of these
A
D. All three of these
21
Q
A person who holds a real estate license is known as a/an:
Select one:
a. licensee.
b. salesperson.
c. broker.
d. registrant.
A
a. licensee.
22
Q
A document signed by a property owner authorizing a broker to offer his
property for sale is called a/an:
Select one:
a. Listing Agreement
b. Purchase Agreement
c. Timeshare Agreement
d. Property Management Agreement
A
a. Listing Agreement
23
Q
A licensee who is employed by and represents only the buyer in a real estate
transaction, regardless of whether the agent’s commission is paid by the buyer
or by the seller is known as a:
Select one:
A. selling agent
B. buyer’s agent
C. buyer broker
D. This is not legal.
A
B. buyer’s agent
24
Q
People who engage in the selling of timeshare interests or developing
timeshare property who are registered with the Real Estate Commission are
known as
Select one:
A. timeshare agents
B. timeshare salespersons
C. timeshare registrants
D. timeshare licensees
A
C. timeshare registrants
25
Real Estate Activity includes:
Select one:
a. negotiating sales or leases for a commission.
b. listing property for sale or lease for compensation.
c. selling or leasing of real estate for a fee.
d. All of the above.
d. All of the above.
26
The term “real estate activity” includes which of the following?
Select one:
A. Selling or purchasing
B. Listing property for sale
C. Managing
D. All of the above
D. All of the above
27
How many Commissioners are appointed from the Supreme Court Districts?
Select one:
a. Seven
b. Eleven
c. Four
d. None
a. Seven
28
The Louisiana Real Estate Commission consists of how many members?
Select one:
A. 3
B. 6
C. 11
D. 12
C. 11
29
Who is responsible for creating the License Laws?
Select one:
a. The legislature.
b. The Commission.
c. The governor.
d. The lawyer for the Commission.
a. The legislature.
30
The Louisiana Real Estate Commission is domiciled in
Select one:
A. New Orleans
B. Shreveport
C. Baton Rouge
D. Lake Charles
C. Baton Rouge
31
What are the two status classifications of real estate licenses?
Select one:
a. active and inactive
b. agent and licensee
c. active and static
d. current and inactive
a. active and inactive
32
Every applicant for a license shall submit a sworn statement attesting that he
has knowledge of and understands the provisions of
Select one:
A. The Civil Rights Act
B. The Fair Housing Act
C. The Equal Employment Opportunity Act
D. The Truth In Lending Law
B. The Fair Housing Act
33
All licensees are required to complete ____ hours continuing education each
year.
Select one:
A. 6
B. 8
C. 10
D. 12
D. 12
34
Applicants for broker licensing must complete a 30 hour broker responsibility
course as part of the 150 hours of education required.
Select one:
True
False
True
35
A licensee may remain on inactive status indefinitely.
Select one:
True
False
True
36
Who may engage in the sale of real estate without being a licensed real estate
agent?
Select one:
A. An attorney on behalf of his or her client.
B. A receiver or trustee in bankruptcy.
C. An individual selling his or her own property.
D. All of the above
D. All of the above
37
Which of the following is true regarding licensees who have placed their license
on inactive status?
Select one:
A. They must renew their inactive license each year.
B. They are not required to renew each year.
C. They may not transfer to active status until the end of the year.
D. In order to transfer to active status they must take an exam.
A. They must renew their inactive license each year.
38
Upon termination of a qualifying broker’s affiliation with a corporation, limited
liability company or partnership, the Commission must be notified and a
new qualifying broker designated within
Select one:
A. 3 days
B. 5 days
C. 10 days
D. 30 days
B. 5 days
39
When a qualifying broker resigns or is terminated, the company can continue to
practice real estate for 5 days until the appointment of a new qualifying broker.
Select one:
True
False
False
40
When the association of a qualifying broker for a corporation is terminated, the
broker must notify all sponsored licensees by:
Select one:
a. certified or registered mail.
b. regular mail.
c. in person.
d. verbally.
a. certified or registered mail.
41
The delinquent renewal fee if renewing after November 15th is $200.
Select one:
True
False
True
42
The fee for renewing your license after September 30th but before November
16th is:
Select one:
a. $50
b. $75
c. $100
d. $150
a. $50
43
John, who does not hold a real estate license, had some experience with selling
his own homes, so he offered to assist his neighbor in selling her home for
which she paid him a fee of $300. Which of the following is true?
Select one:
a. It is illegal for unlicensed persons to charge a fee for transacting real estate.
b. This is admissible because it was between two private parties.
c. This is admissible because it was a flat fee and not a percentage of the sale.
d. This is illegal because they did not file a request with the Commission.
a. It is illegal for unlicensed persons to charge a fee for transacting real estate.
44
Which of the following is true regarding listing agreements when a salesperson
transfers to a new sponsoring broker?
Select one:
a. They are the property of the original broker.
b. They are the property of the salesperson.
c. They are the property of the new sponsoring broker.
d. They must be terminated.
a. They are the property of the original broker.
45
An associate broker or salesperson can assign payment of his or her
commission to an unlicensed corporation or limited liability company of which
he or she is the sole officer, director or shareholder.
Select one:
A. True
B. False
A. True
46
Demanding a referral fee when reasonable cause does not exist is unlawful.
Select one:
True
False
True
47
In order for a salesperson to be considered an independent contractor, he or she must:
Select one:
a. be a licensee.
b. receive compensation from sales rather than number of hours worked.
c. have a written agreement with the broker specifying that the licensee
will not be treated as an employee.
d. All of the above.
d. All of the above.
48
What happens to the licenses of sponsored agents when a broker's license is revoked?
Select one:
a. They are automatically suspended.
b. They are automatically revoked.
c. They may continue to carry out pending business until they find a new broker.
d. Nothing
a. They are automatically suspended.
49
Louisiana licensees are required to use the Purchase Agreement Form
prescribed by the Louisiana Real Estate Commission.
Select one:
True
False
True
50
How long are brokers required to retain records of real estate transactions?
Select one:
A. one year
B. two years
C. three years
D. five years
D. five years
51
The fee to transfer your license to a new broker is:
Select one:
a. $35
b. $45
c. $25
d. There is no fee.
a. $35
52
Inactive licensees must renew their licenses no later than:
Select one:
a. March 31st.
b. September 30th.
c. February 15th.
d. They do not have to renew.
b. September 30th.
53
The last date to renew your license delinquently is:
Select one:
A. December 31
B. February 15
C. June 30
D. March 31
A. December 31
54
Who can receive a commission payment from a broker?
Select one:
A. a licensed agent.
B. The seller
C. The buyer
D. An unlicensed friend of the seller or buyer who refers them to the
broker.
A. a licensed agent.
55
If a salesperson transfers his license to a new sponsoring broker but has sales
pending with the former broker, how can he receive his commission?
Select one:
a. directly from the former broker
b. It must be paid to LREC and then to the salesperson.
c. He can not receive any of these commissions.
d. through his new sponsoring broker.
d. through his new sponsoring broker.
56
It is unlawful for a real estate agent to pay a commission to an unlicensed person.
Select one:
True
False
True
57
Who can a salesperson receive a commission payment from?
Select one:
A. the seller
B. the buyer
C. his or her sponsoring broker
D. the listing broker
C. his or her sponsoring broker
58
What happens to the licenses of salespersons or associate brokers when their sponsoring broker’s license is suspended or revoked?
Select one:
A. They are automatically transferred to another broker until they secure a
new sponsoring broker.
B. Their licenses are also suspended or revoked.
C. The sponsoring broker has 72 hours to return all licenses to the Commission.
D. Nothing, they can continue to practice real estate.
C. The sponsoring broker has 72 hours to return all licenses to the Commission.
59
How long does the agent have to provide his principle with a copy of a document which the principle has signed?
Select one:
A. It should be done immediately.
B. Within 3 days.
C. Within 5 days.
D. Within one week.
A. It should be done immediately.
60
Which of the following statements is true regarding Purchase Agreements?
Select one:
a. They must have a definite expiration date.
b. They do not have to have an expiration date.
c. A copy must be filed with the Real Estate Commission.
d. A copy must be retained by the broker for 10 years.
a. They must have a definite expiration date.
61
If a real estate broker conducts business from more than one place of business,
which of the following is true?
Select one:
A. He is required to have one license for his main office only.
B. He is required to have a branch office license for each place of business.
C. No license is required.
D. None of the above.
B. He is required to have a branch office license for each place of business.
62
The length of time to renew your license delinquently is:
Select one:
a. 3 months.
b. 6 months.
c. 1 year.
d. 1 month.
a. 3 months.
63
Unlicensed persons can charge a fee for assisting in the sale of real estate as
long as they do not advertise the sale.
Select one:
True
False
False
64
How many sponsoring brokers may a salesperson have?
Select one:
a. one.
b. one sponsoring broker and one qualifying broker
c. one for each state in which he or she is licensed.
d. as many as needed
c. one for each state in which he or she is licensed.
65
Under what conditions may a person or company request a referral fee for the
referral of a buyer or seller?
Select one:
A. The person seeking the referral fee introduced the client to the licensee.
B. The person seeking the referral fee has a written contractual relationship with the licensee for a referral fee.
C. The licensee has received the client referral prior to the client contracting to buy or list real estate with the licensee.
D. All of the above.
D. All of the above.
66
Demanding a referral fee when reasonable cause does not exist is unlawful.
Select one:
True
False
True
67
Who can receive a commission payment from a broker?
Select one:
A. a licensed agent.
B. The seller
C. The buyer
D. An unlicensed friend of the seller or buyer who refers them to the
broker.
A. a licensed agent.
68
Which of the following statements is TRUE regarding the mandatory Purchase
Agreement?
Select one:
a. Addendums or amendments can be made to it.
b. No addendums or amendments can be made to it.
c. It is only required for single family residences.
d. It is only required for office buildings.
a. Addendums or amendments can be made to it.
69
For which of the following properties would the mandatory Purchase
Agreement NOT be required?
Select one:
a. A single family home.
b. A four-plex.
c. A condominium.
d. An office building.
d. An office building.
70
Written agreements for the sale or management of real estate are required to specify a definite expiration date.
Select one:
A. True
B. False
A. True
71
Any licensee who is the custodian of any client funds must report the institution
of bankruptcy proceedings to the Commission within
Select one:
A. 3 days
B. 5 days
C. 7 days
D. 10 days
D. 10 days
72
Bankruptcy proceedings which shall be reported include those in which the
petitioner is named as a debtor, whether classified as voluntary or involuntary,
personal, corporate, or partnership, or which is in any way connected with the
licensee's, registrant's, or certificate holder's real estate business activities.
Select one:
True
False
True
73
Any final conviction by a court of competent jurisdiction for forgery,
embezzlement, obtaining money under false pretenses, larceny, extortion,
conspiracy to defraud, theft, or any other felony, or any crime involving moral
turpitude shall be reported to the commission within:
Select one:
a. 3 days
b. 7 days
c. 10 days
d. 20 days
c. 10 days
74
How must complaints against a licensee be filed with the Commission?
Select one:
a. In writing.
b. Verbally or in writing.
c. Through an attorney.
d. The Commission does not deal with complaints against licensees.
a. In writing.
75
Agent Annie has agreed to meet a prospective buyer to write up a purchase
agreement. Two hours before the appointment Annie is in an accident and has to go to the emergency room. She calls her assistant who is not licensed and
has her meet with the buyer to sign the purchase agreement. Is this legal?
Select one:
a. No.
b. Yes, because the assistant is acting on Annie's behalf.
c. No, because the broker was not notified.
d. Yes, because otherwise Annie might lose the sale.
a. No.
Unlicensed people can only do ministerial acts.
76
A licensee is selling his own property and representing the buyer. Which of the
following statements is true?
Select one:
a. As long as he discloses his interest in the property, this is not considered a dual agency.
b. He must have the buyer sign a dual agency disclosure form.
c. The license law does not apply when an agent is selling his own property.
d. He cannot represent the buyer in this transaction.
a. As long as he discloses his interest in the property, this is not considered a dual agency.
77
After the findings of the Commission against a licensee for a violation, if the
licensee wishes to appeal to the 19th Judicial Court, how long does he have in
which to file the appeal?
Select one:
a. 30 days
b. 10 days
c. 5 days
d. 6 months
a. 30 days
78
A licensee must be notified of charges made against him by the Commission by
what means?
Select one:
A. in person
B. by registered mail
C. by certified mail
D. Any of the above
D. Any of the above
79
If a designated qualifying broker who represents more than one corporation,
limited liability company, or partnership is charged with a violation of the license
law, who must be notified?
Select one:
a. Each company for which he is the qualifying broker.
b. Only the company which is involved in the violation.
c. Only the broker himself.
d. Only the client.
a. Each company for which he is the qualifying broker.
80
When any charges are made against a licensee by the Commission, the licensee
must be notified at least _____ days prior to the date of hearing.
Select one:
A. 10
B. 20
C. 30
D. 60
B. 20
81
If a qualifying broker for a corporation dies, the corporation must appoint a new
qualifying broker within ___ days.
Select one:
a. 5
b. 3
c. 2
d. 10
a. 5
82
Which of the following does NOT have to be reported to the Commission?
Select one:
a. A licensee is charged with theft.
b. A licensee is convicted of fraud.
c. A licensee is convicted of embezzling deposit money in a real estate
transaction.
d. Any conviction in a court of law involving forgery.
c. A licensee is convicted of embezzling deposit money in a real estate
transaction.
83
In the event of the death of the sponsoring broker, who may complete any pending real estate activities of the firm?
Select one:
A. Another brokerage firm will be appointed by the Commission to handle
the business.
B. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
C. No one. All current contracts are considered null and void.
D. A relative of the deceased broker will be appointed.
B. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
84
Which of the following is NOT cause for censure, suspension, or revocation of a
license, registration, or certification by the Commission?
Select one:
A. representing to a lender an amount greater than the actual sale price.
B. failure to reduce a bonafide offer to writing when requested by a purchaser.
C. violation of the Fair Housing Act
D. having been convicted of a misdemeanor.
D. having been convicted of a misdemeanor.
85
It is unlawful for any person or his agent to file with the commission any notice,
statement, or other document, required under the provisions of this Chapter
which is false or contains any material misstatement of fact.
Select one:
True
False
True
86
If you are acting as a dual agent you must get verbal permission from both
parties.
Select one:
True
False
False
87
Notice of charges against a licensee for a violation of the license law may be
delivered by registered mail or:
Select one:
a. in person.
b. by regular mail.
c. by telephone.
d. by email.
a. in person.
88
If a licensee disagrees with the final decision of the Commission concerning
charges made against him, he may request a review of the findings by the
Select one:
A. Board of Realtors
B. Nineteenth Judicial District Court
C. Fifth Circuit Court of Appeals
D. There is no option for review.
B. Nineteenth Judicial District Court
89
The maximum penalty for violations of the License Law is
Select one:
A. $2000 and 5 years imprisonment.
B. $4000 and 4 years imprisonment
C. $5000 and 5 years imprisonment
D. $10,000 and 10 years imprisonment
A. $2000 and 5 years imprisonment.
90
A licensee must be notified of charges made against him by the Commission by
what means?
Select one:
A. in person
B. by registered mail
C. by certified mail
D. Any of the above.
D. Any of the above.
91
The purpose of the Real Estate Recovery Fund is to
Select one:
A. provide funds for real estate education for licensees
B. make payments to licensees for commissions not received
C. reimburse any person who has suffered monetary damages because of acts committed by a licensee in a real estate transaction.
D. To recover money spent on continuing education seminars.
C. reimburse any person who has suffered monetary damages because of acts committed by a licensee in a real estate transaction.
92
What is the maximum amount that any claimant may receive from the Recovery
Fund?
Select one:
A. $10,000
B. $20,000
C. $30,000
D. $50,000
B. $20,000
93
Who is eligible to receive payment from the Recovery Fund?
Select one:
A. only licensees
B. only brokers
C. Any claimant who has received final judgment in court against a licensee in a real estate transaction.
D. Any person who is not an employee of the state
C. Any claimant who has received final judgment in court against a licensee in a real estate transaction.
94
What is the purpose of the Real Estate Research and Education Fund?
Select one:
A. To promote the advancement and more efficient administration of the real estate industry and thereby serve to protect the public.
B. To provide funds for pre-licensing courses
C. To provide funds for payment of Commission employees
D. To provide funds for payment of claims against licensees.
A. To promote the advancement and more efficient administration of the real estate industry and thereby serve to protect the public.
95
Licensees shall have the option of obtaining errors and omissions insurance
independently, provided that the coverage contained in such policy complies with
the minimum requirements established by the commission.
Select one:
True
False
True
96
For what purposes may the funds from the Research and Education Fund be
used?
Select one:
A. To establish real estate chairs at Louisiana institutions of higher
learning.
B. To contract for particular research projects in the field of real estate for
the state of Louisiana.
C. To sponsor, conduct, contract for, and to underwrite any and all other research projects or real estate programs having to do with the advancement of the real estate field in Louisiana.
D. All of the above.
D. All of the above.
97
What is the penalty if a licensee fails to disclose to a buyer that the property
was psychologically impacted?
Select one:
a. None.
b. A fine of not more than $2000.
c. A fine of not more than $5000.
d. Not more than 5 years in prison and $2000.
a. None.
98
No cause of action shall arise against an owner of real estate or his or her agent
for the failure to disclose to the transferee that the transferred property was
psychologically impacted as defined in Subsection A.
Select one:
True
False
True
99
Which of the following is required in every written lease, rental agreement, or
contract for sale?
Select one:
A. marital status of lessee
B. street address of seller or lessor
C. notice of statewide database of location of registered sex offenders
D. all of the above
C. notice of statewide database of location of registered sex offenders
100
Agent Annie notices some mold in a corner of the basement of a house she is
showing to a prospective buyer. What should she do?
Select one:
a. Point it out to the buyer and give them the mold information pamphlet.
b. Nothing, since mold is common and does not have to be disclosed.
c. Give the buyer the mold information pamphlet, but not mention the
presence of the mold.
d. Mention it to the buyer but tell them it will come off with bleach so it's not a problem.
a. Point it out to the buyer and give them the mold information pamphlet.
101
Seller Sam tells his agent Al, that the basement wall is cracked but it's not
noticeable and he doesn't want to mention it to prospective buyers. Which of
the following statements is true?
Select one:
a. Al must disclose this information because it is a material defect.
b. Al cannot disclose this information because it was told to him in
confidence by his client.
c. If Al discloses the information he is breaching his fiduciary duty of
obedience.
d. Al should tell Sam not to fill out the property disclosure form.
a. Al must disclose this information because it is a material defect.
102
A contractual relationship between a broker and a client in which the broker
appoints one or more licensees to represent the client is known as __________
agency.
Select one:
a. designated
b. dual
c. single
d. broker
a. designated
103
Ministerial acts could include all of the following EXCEPT
Select one:
A. responding to phone inquiries concerning price or location
B. setting an appointment to view a property
C. responding to phone inquiries concerning brokerage fees
D. suggesting an offering price for a property
D. suggesting an offering price for a property
104
A licensee representing a client does not breach a duty or obligation to the
client by showing alternative properties to prospective buyers or tenants or by
showing properties in which the client is interested to other prospective buyers
or tenants.
Select one:
True
False
True
105
A licensee engaged in any real estate transaction shall be considered to be
representing ______ unless there is a written agreement between the broker and the person providing that there is a different relationship.
Select one:
a. the person he or she is with
b. the seller
c. the buyer
d. no one
a. the person he or she is with
106
When there is no written agency agreement, who does the licensee represent in a transaction?
Select one:
A. the seller
B. the buyer
C. both
D. the one he is with
D. the one he is with
107
When acting as a dual agent, what form must be signed by the clients?
Select one:
A. agency disclosure pamphlet
B. buyer representation agreement
C. dual agency disclosure form
D. caveat emptor form
C. dual agency disclosure form
108
Which of the following CAN NOT be disclosed by the licensee when acting as a
dual agent?
Select one:
A. material defects
B. Confidential information about the seller
C. Confidential information about the buyer
D. Confidential information about buyer or seller
D. Confidential information about buyer or seller
109
How is sub-agency created in Louisiana?
Select one:
A. by written agreement
B. by membership in MLS
C. by acting as a co-op agent
D. Both B and C
A. by written agreement
110
Is a client considered to be liable for acts or omissions of his real estate agent?
Select one:
A. yes
B. no
B. no
111
When a Louisiana broker cooperates with an out of state broker in the sale of
property in Louisiana, the commission is paid
Select one:
A. to the out of state broker only
B. to the Louisiana broker who then pays the out of state broker
C. to the out of state broker who then pays the Louisiana broker
D. to the Louisiana broker only
B. to the Louisiana broker who then pays the out of state broker
112
If an agent receives his initial license on November 22, 2002, when must he
renew his license?
Select one:
A. December 31, 2003
B. November 22, 2003
C. His birthday, 2003
D. December 31, 2002
D. December 31, 2002
113
Salesman Sam brings an offer to purchase to the listing agent, Andy. Andy
knows a better offer is coming in later that day. What should Andy do?
Select one:
A. Present the offer immediately.
B. Wait and present the better offer first.
C. Wait and present both offers to the seller at the same time.
D. Not present the offer.
A. Present the offer immediately.
114
When a sales agent receives a deposit on a property he must
Select one:
A. Put it in a safe place.
B. Give it to his broker
C. deposit it in his escrow account.
D. Deposit it in his operating account.
B. Give it to his broker
115
When must an offer to purchase be presented to the seller?
Select one:
A. within 5 days
B. immediately
C. within 48 hours
D. within 24 hours
B. immediately
116
Who must sign the Agency Disclosure Pamphlet?
Select one:
A. the buyer
B. the seller
C. the agents
D. all of the above
D. all of the above
117
Applicants for a broker’s license must have been actively licensed as a
salesperson for:
Select one:
A. one year
B. Four years
C. three years
D. five years
B. Four years
118
The sponsoring broker for a corporation, limited liability company, or
partnership is known as the:
Select one:
A. qualifying broker
B. individual broker
C. corporation broker
D. sponsoring broker
A. qualifying broker
119
The Louisiana Real Estate Commission consists of how many Commissioners?
Select one:
A. 5
B. 11
C. 7
D. 12
B. 11
120
A buyer and seller have agreed on the sale of a home, however, the buyer does
not have enough cash for the down payment. The seller and buyer, along with
their agents, agree to increase the selling price of the home and then give the
difference to the buyer for his down payment. This would be
Select one:
A. A violation of finance law
B. A violation of license law
C. okay since all parties agreed.
D. Okay as long as the proper paperwork is completed
B. A violation of license law
121
A person other than an associate broker, who is sponsored by a real estate
broker is called a/an:
Select one:
a. Real Estate Salesperson
b. Qualifying Licensee
c. Timeshare Registrant
d. Qualifying Salesperson
a. Real Estate Salesperson
122
A person who holds a broker's license but is sponsored by another broker is a:
Select one:
A. This is not legal
B. salesperson
C. individual broker
D. associate broker
D. associate broker
123
In the event of the death of the sponsoring broker, who may complete any pending real estate activities of the firm?
Select one:
A. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
B. No one. All current contracts are considered null and void.
C. Another brokerage firm will be appointed by the Commission to handle
the business.
D. A relative of the deceased broker will be appointed.
A. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
124
If a qualifying broker for a corporation dies, the corporation must appoint a new
qualifying broker within ___ days.
Select one:
a. 3
b. 10
c. 5
d. 2
c. 5
125
Any licensee who is the custodian of any client funds must report the institution
of bankruptcy proceedings to the Commission within
Select one:
A. 5 days
B. 7 days
C. 3 days
D. 10 days
D. 10 days
126
Agent Annie has agreed to meet a prospective buyer to write up a purchase
agreement. Two hours before the appointment Annie is in an accident and has to go to the emergency room. She calls her assistant who is not licensed and
has her meet with the buyer to sign the purchase agreement. Is this legal?
Select one:
a. Yes, because otherwise Annie might lose the sale.
b. No.
c. No, because the broker was not notified.
d. Yes, because the assistant is acting on Annie's behalf.
b. No.
127
The Commission will not become involved in disputes concerning
Select one:
A. inspection of records of a brokerage firm.
B. Misuse of escrow funds.
C. disbursement of escrow funds
D. Disputes between licensees regarding payment of commissions.
D. Disputes between licensees regarding payment of commissions.
128
Agent Bill lists a property for sale and the sellers tell him they do not want a for sale sign in their yard. Bill tells them that it is impossible to sell a property without a for sale sign and puts the sign in the front yard. Which of the following statements is true?
Select one:
a. By signing the listing agreement, the sellers have given Bill free reign to
advertise their property so he has a right to put the sign in their yard.
b. Bill has violated the license law.
c. It is illegal to list a property without placing a for sale sign in the yard.
d. Bill has acted in the best interest of his clients.
b. Bill has violated the license law.
129
A licensee is selling his own property and representing the buyer. Which of the
following statements is true?
Select one:
a. He cannot represent the buyer in this transaction.
b. The license law does not apply when an agent is selling his own property.
c. He must have the buyer sign a dual agency disclosure form.
d. As long as he discloses his interest in the property, this is not considered a dual agency.
d. As long as he discloses his interest in the property, this is not considered a dual agency.
130
It is unlawful for any person or his agent to file with the commission any notice,
statement, or other document, required under the provisions of this Chapter
which is false or contains any material misstatement of fact.
Select one:
True
False
True
131
Notice of charges against a licensee for a violation of the license law may be
delivered by registered mail or:
Select one:
a. by email.
b. by regular mail.
c. by telephone.
d. in person.
d. in person.
132
If a licensee disagrees with the final decision of the Commission concerning
charges made against him, he may request a review of the findings by the
Select one:
A. Fifth Circuit Court of Appeals
B. Nineteenth Judicial District Court
C. Board of Realtors
D. There is no option for review.
B. Nineteenth Judicial District Court
133
Which of the following is/are prohibited from owning a real estate school?
Select one:
a. Legislators
b. Commissioners.
c. Relatives of Commissioners.
d. All of the above
d. All of the above
134
What is the maximum amount that any claimant may receive from the Recovery
Fund?
Select one:
A. $20,000
B. $30,000
C. $50,000
D. $10,000
A. $20,000
135
What is the maximum amount of payments that can be made for claims arising out of the same transaction regardless of the number of claimants?
Select one:
A. $50,000
B. $20,000
C. $30,000
D. There is no limit.
B. $20,000
136
All of the following are required to have errors and omissions insurance
EXCEPT:
Select one:
a. active salespersons.
b. new licensees.
c. inactive licensees.
d. active brokers.
c. inactive licensees.
137
What is the purpose of the Real Estate Research and Education Fund?
Select one:
A. To provide funds for pre-licensing courses
B. To promote the advancement and more efficient administration of
the real estate industry and thereby serve to protect the public.
C. To provide funds for payment of Commission employees
D. To provide funds for payment of claims against licensees.
B. To promote the advancement and more efficient administration of
the real estate industry and thereby serve to protect the public.
138
For what purposes may the funds from the Research and Education Fund be
used?
Select one:
A. To establish real estate chairs at Louisiana institutions of higher
learning.
B. To contract for particular research projects in the field of real estate for
the state of Louisiana.
C. To sponsor, conduct, contract for, and to underwrite any and all other research projects or real estate programs having to do with the advancement of the real estate field in Louisiana.
D. All of the above.
D. All of the above.
139
No cause of action shall arise against an owner of real estate or his or her agent
for the failure to disclose to the transferee that the transferred property was
psychologically impacted as defined in Subsection A.
Select one:
True
False
True
140
The fact that an occupant of a house was infected with AIDS is a material defect.
Select one:
True
False
False
141
Which of the following statements is NOT TRUE regarding mold information?
Select one:
a. The Commission has approved a mold information pamphlet for licensees to use.
b. Licensees are not required to give prospective buyers info about mold.
c. Licensees cannot be held liable for any errors in the mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
142
A contractual relationship between a broker and a client in which the broker
appoints one or more licensees to represent the client is known as __________
agency.
Select one:
a. broker
b. designated
c. single
d. dual
b. designated
143
A person who is not represented by the licensee but for whom the licensee is
performing ministerial acts is the
Select one:
A. principle
B. customer
C. buyer
D. client
B. customer
144
Ministerial acts could include all of the following EXCEPT
Select one:
A. responding to phone inquiries concerning price or location
B. responding to phone inquiries concerning brokerage fees
C. setting an appointment to view a property
D. suggesting an offering price for a property
D. suggesting an offering price for a property
145
The person who is NOT being represented in a real estate transaction is called the:
Select one:
a. buyer.
b. customer.
c. client.
d. principal.
b. customer.
146
The payment or promise of payment of compensation to a broker determines
whether an agency relationship has been created.
Select one:
A. True
B. False
B. False
147
Which of the following statements is true concerning a licensee who unknowingly gives false information to a client that was given to the licensee by the customer?
Select one:
A. This is a violation of License Law.
B. This is fraudulent misrepresentation.
C. This is negligent misrepresentation.
D. This is not a violation of License Law.
D. This is not a violation of License Law.
148
A seller tells his agent that the roof was replaced one year ago. The buyer later
learns that the roof is actually 10 years old. Who is liable?
Select one:
a. The seller
b. The agent
c. No one
d. The seller and the agent
a. The seller
149
No cause of action shall arise on behalf of any person against a dual agent for
making disclosures allowed or required, and the dual agent does not terminate
any agency relationship by making the allowed or required disclosures.
Select one:
True
False
True
150
A dual agency shall not be construed to exist in a circumstance in which the
licensee is working with both landlord and tenant as to a lease which does not
exceed a term of _____ and the licensee is the landlord.
Select one:
a. 3 years
b. 1 year
c. 5 years
d. 2 years
a. 3 years
151
When acting as a dual agent, what form must be signed by the clients?
Select one:
A. buyer representation agreement
B. dual agency disclosure form
C. agency disclosure pamphlet
D. caveat emptor form
B. dual agency disclosure form
152
A person who holds a real estate license is known as a/an:
Select one:
a. salesperson.
b. registrant.
c. licensee.
d. broker.
c. licensee.
153
A licensed person whose license has been transferred to inactive status is
Select one:
A. an active licensee.
B. not authorized to sell real estate.
C. not licensed.
D. this is illegal
B. not authorized to sell real estate.
154
A document signed by a property owner authorizing a broker to offer his
property for sale is called a/an:
Select one:
a. Timeshare Agreement
b. Listing Agreement
c. Purchase Agreement
d. Property Management Agreement
b. Listing Agreement
155
How are the members of the Commission chosen?
Select one:
A. Appointed by the director of the Commission.
B. Appointed by the governor.
C. Elected
D. Hired through the Civil Service
B. Appointed by the governor.
156
The Louisiana Real Estate Commission consists of how many members?
Select one:
A. 12
B. 6
C. 3
D. 11
D. 11
157
Who is responsible for creating the License Laws?
Select one:
a. The legislature.
b. The Commission.
c. The lawyer for the Commission.
d. The governor.
a. The legislature.
158
How is the executive director of the Real Estate Commission selected?
Select one:
a. He/she must apply to the Civil Service Board.
b. He/she is appointed by the governor.
c. He/she is appointed by the Commissioners.
d. It is an elected position.
c. He/she is appointed by the Commissioners.
159
Every applicant for a license shall submit a sworn statement attesting that he has knowledge of and understands the provisions of
Select one:
A. The Truth In Lending Law
B. The Equal Employment Opportunity Act
C. The Civil Rights Act
D. The Fair Housing Act
D. The Fair Housing Act
160
Licensees who have been on inactive status for more than 5 years must do
what to activate their license?
Select one:
a. apply as a new applicant.
b. complete 80 hours of continuing education.
c. complete 60 hours of continuing education.
d. retake the state exam.
b. complete 80 hours of continuing education.
161
To obtain a broker's license you must have held an active salesperson's license
for at least:
Select one:
A. Four years
B. Six months
C. One year
D. Five years
A. Four years
162
Which of the following statements is/are true of inactive licensees?
Select one:
a. They must renew their license each year.
b. They may transfer to active status at any time.
c. They may not engage in any real estate activity.
d. All of the above.
d. All of the above.
163
If a licensee has been in the inactive status for one to three years, how many
hours of continuing education will be required to activate his license?
Select one:
A. 8
B. 40
C. 20
D. 12
C. 20
164
Upon the merger or consolidation with another corporation, limited liability
company, or partnership, the company shall notify the Commission within ____
days of the merger.
Select one:
a. 10
b. 5
c. 3
d. 2
b. 5
165
How many hours of post licensing course work are required of brokers?
Select one:
a. 45
b. 12
c. 30
d. None
a. 45
166
When the association of the qualifying broker for a corporation, limited liability
company, or partnership is terminated, his license must be returned to the
Commission within
Select one:
A. 10 days
B. 5 days
C. 72 hours
D. 3 days
B. 5 days
167
When a qualifying broker resigns or is terminated, the company can continue to
practice real estate for 5 days until the appointment of a new qualifying broker.
Select one:
True
False
False
168
When the association of a qualifying broker for a corporation is terminated, the
broker must notify all sponsored licensees by:
Select one:
a. in person.
b. verbally.
c. regular mail.
d. certified or registered mail.
d. certified or registered mail.
169
The delinquent renewal fee if renewing after November 15th is:
Select one:
a. $200
b. $100
c. $50
d. $300
a. $200
170
The delinquent renewal fee if renewing after November 15th is $200.
Select one:
True
False
True
171
If a real estate broker conducts business from more than one place of business,
which of the following is true?
Select one:
A. None of the above.
B. He is required to have one license for his main office only.
C. He is required to have a branch office license for each place of business.
D. No license is required.
C. He is required to have a branch office license for each place of business.
172
Unlicensed persons can charge a fee for assisting in the sale of real estate as
long as they do not advertise the sale.
Select one:
True
False
False
173
How many sponsoring brokers may a salesperson have?
Select one:
a. one.
b. as many as needed
c. one for each state in which he or she is licensed.
d. one sponsoring broker and one qualifying broker
c. one for each state in which he or she is licensed.
174
An associate broker or salesperson can assign payment of his or her commission to an unlicensed corporation or limited liability company of which he or she is the sole officer, director or shareholder.
Select one:
A. True
B. False
A. True
175
Who can a salesperson receive a commission payment from?
Select one:
A. the seller
B. the listing broker
C. his or her sponsoring broker
D. the buyer
C. his or her sponsoring broker
176
Persons signing any document in a real estate transaction which pertains to
more than one party should be provided with a copy of the completed
document within _____ days after the final signature is affixed to the document.
Select one:
A. 3
B. 2
C. 7
D. 5
D. 5
177
How long are brokers required to retain records of real estate transactions?
Select one:
A. two years
B. five years
C. three years
D. one year
B. five years
178
Which of the following statements is TRUE regarding the mandatory Purchase
Agreement?
Select one:
a. It is only required for single family residences.
b. Addendums or amendments can be made to it.
c. No addendums or amendments can be made to it.
d. It is only required for office buildings.
b. Addendums or amendments can be made to it.
179
Louisiana licensees are required to use the Purchase Agreement Form
prescribed by the Louisiana Real Estate Commission.
Select one:
True
False
True
180
A franchise agreement allows a real estate broker to use registered trademarks
and other advertising tools to create a common identity among several brokers
nationally or regionally for marketing purposes.
Select one:
True
False
True
181
If a broker's license is revoked:
Select one:
A. Any salespersons may transfer their license to another sponsoring broker and the transfer fee is waived.
B. The salespersons licenses are not affected.
C. The salespersons licenses are also revoked.
D. Any salespersons may transfer their license to another broker upon
paying a $25 transfer fee.
A. Any salesperson may transfer their license to another sponsoring broker and the transfer fee is waived.
182
When a sponsoring broker gets his license revoked, the salesman
Select one:
A. gets his license suspended
B. is not affected
C. also gets his license revoked
D. must get out of the real estate business
A. gets his license suspended
183
Who may be granted a Louisiana broker's license?
Select one:
A. an individual
B. a corporation
C. a limited liability company
D. all of the above
D. all of the above
184
The sponsoring broker for a corporation, limited liability company, or
partnership is known as the:
Select one:
A. qualifying broker
B. individual broker
C. corporation broker
D. sponsoring broker
A. qualifying broker
185
How many sponsoring brokers can a licensee have?
Select one:
A. any number
B. one in each state in which he is licensed
C. one for each company that he is employed with
D. one
B. one in each state in which he is licensed
186
If a seller wishes to pay a bonus to his salesman for his excellent services, he
Select one:
A. May do so if payment is made through the broker.
B. May do so if paid in cash.
C. may not because it is illegal.
D. May pay it directly to the salesman.
A. May do so if payment is made through the broker.
187
Applicants for a broker’s license must have been actively licensed as a
salesperson for:
Select one:
A. one year
B. Four years
C. three years
D. five years
B. Four years
188
The Real Estate Commission adjudicates disputes between
Select one:
A. brokers
B. licensees and their principals
C. brokers and salespersons
D. does not become involved in disputes of any kind
B. licensees and their principals
189
A buyer and seller have agreed on the sale of a home, however, the buyer does not have enough cash for the down payment. The seller and buyer, along with their agents, agree to increase the selling price of the home and then give the
difference to the buyer for his down payment. This would be
Select one:
A. okay since all parties agreed.
B. Okay as long as the proper paperwork is completed
C. A violation of license law
D. A violation of finance law
C. A violation of license law
190
The legal age for entering into a valid contract in Louisiana is
Select one:
A. 17
B. 20
C. 18
D. 21
C. 18
191
The term “real estate activity” includes which of the following?
Select one:
A. Selling or purchasing
B. Listing property for sale
C. Managing
D. All of the above
D. All of the above
192
A person other than an associate broker, who is sponsored by a real estate
broker is called a/an:
Select one:
a. Timeshare Registrant
b. Qualifying Salesperson
c. Real Estate Salesperson
d. Qualifying Licensee
c. Real Estate Salesperson
193
Bankruptcy proceedings which shall be reported include those in which the
petitioner is named as a debtor, whether classified as voluntary or involuntary,
personal, corporate, or partnership, or which is in any way connected with the
licensee's, registrant's, or certificate holder's real estate business activities.
Select one:
True
False
True
194
Which of the following does NOT have to be reported to the Commission?
Select one:
a. A licensee is convicted of embezzling deposit money in a real estate
transaction.
b. A licensee is convicted of fraud.
c. Any conviction in a court of law involving forgery.
d. A licensee is charged with theft.
d. A licensee is charged with theft.
195
In the event of the death of the sponsoring broker, who may complete any pending real estate activities of the firm?
Select one:
A. Another brokerage firm will be appointed by the Commission to handle
the business.
B. A relative of the deceased broker will be appointed.
C. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
D. No one. All current contracts are considered null and void.
C. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
196
If you are acting as a dual agent you must get verbal permission from both parties.
Select one:
True
False
False
197
Agent Bill lists a property for sale and the sellers tell him they do not want a for sale sign in their yard. Bill tells them that it is impossible to sell a property without a for sale sign and puts the sign in the front yard. Which of the following
statements is true?
Select one:
a. It is illegal to list a property without placing a for sale sign in the yard.
b. Bill has acted in the best interest of his clients.
c. By signing the listing agreement, the sellers have given Bill free reign to
advertise their property so he has a right to put the sign in their yard.
d. Bill has violated the license law.
d. Bill has violated the license law.
198
It is illegal to place a For Sale sign in the seller's yard without his permission.
Select one:
True
False
True
199
How must complaints against a licensee be filed with the Commission?
Select one:
a. The Commission does not deal with complaints against licensees.
b. Verbally or in writing.
c. Through an attorney.
d. In writing.
d. In writing.
200
Agent Sally accepted a deposit from her buyer for the purchase of a home.
Since she was not going back to the office until Monday morning, she put the
deposit check in her personal checking account. She planned on writing her
broker a check on Monday morning. Which of the following statements is true?
Select one:
a. This is a violation of the license law.
b. Since Sally is representing the buyer, as long as she accounts for the money by the time of the closing there is no violation.
c. This is perfectly legal.
d. As long as the money is put in the broker's escrow account within 5
days there is no violation.
a. This is a violation of the license law.
201
A licensee must be notified of charges made against him by the Commission by
what means?
Select one:
A. in person
B. by certified mail
C. by registered mail
D. Any of the above.
D. Any of the above.
202
After the findings of the Commission against a licensee for a violation, if the
licensee wishes to appeal to the 19th Judicial Court, how long does he have in
which to file the appeal?
Select one:
a. 10 days
b. 5 days
c. 30 days
d. 6 months
c. 30 days
203
What is the source of funds for the Recovery Fund?
Select one:
A. the state
B. sale of real estate publications
C. license fees
D. fees from penalties
C. license fees
204
Which of the following is/are prohibited from owning a real estate school?
Select one:
a. Legislators
b. Commissioners.
c. Relatives of Commissioners.
d. All of the above
d. All of the above
205
The Commission may impose a civil penalty of no more than _______ upon any
unlicensed person found to have engaged in real estate activity.
Select one:
a. $3000
b. The Commission can only fine licensees.
c. $2000
d. $5000
d. $5000
206
For what purposes may the funds from the Research and Education Fund be
used?
Select one:
A. To establish real estate chairs at Louisiana institutions of higher
learning.
B. To contract for particular research projects in the field of real estate for
the state of Louisiana.
C. To sponsor, conduct, contract for, and to underwrite any and all other
research projects or real estate programs having to do with the advancement of the real estate field in Louisiana.
D. All of the above.
D. All of the above.
207
Licensees are required by the Commission to have:
Select one:
A. homeowner
B. flood insurance
C. errors and omissions insurance
D. broker
C. errors and omissions insurance
208
Licensees shall have the option of obtaining errors and omissions insurance
independently, provided that the coverage contained in such policy complies with the minimum requirements established by the commission.
Select one:
True
False
True
209
Which of the following statements is NOT TRUE regarding mold information?
Select one:
a. The Commission has approved a mold information pamphlet for licensees to use.
b. Licensees are not required to give prospective buyers information about mold.
c. Licensees cannot be held liable for any errors in the mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
210
When should an agent present the agency disclosure pamphlet to a party to a real estate transaction?
Select one:
A. at the first substantive meeting
B. at the closing
C. any time before the closing
D. at the time that the contract is signed.
A. at the first substantive meeting
211
Notice of the availability to the public of access to a statewide database disclosing the locations of sex offenders is required in which of the following?
Select one:
a. Written leases executed by licensees.
b. Purchase agreements executed by licensees.
c. Rental agreement written and executed by licensees.
d. All of the above.
d. All of the above.
212
Which of the following statements is NOT TRUE regarding mold information?
Select one:
a. The Commission has approved a mold information pamphlet for licensees to use.
b. Licensees are not required to give prospective buyers information
about mold.
c. Licensees can not be held liable for any errors in the mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
d. Licensees must give each prospective buyer a mold information pamphlet.
213
Ministerial acts could include all of the following EXCEPT
Select one:
A. setting an appointment to view a property
B. suggesting an offering price for a property
C. responding to phone inquiries concerning price or location
D. responding to phone inquiries concerning brokerage fees
B. suggesting an offering price for a property
214
Seller Sam tells his agent Al, that the basement wall is cracked but it's not
noticeable and he doesn't want to mention it to prospective buyers. Which of
the following statements is true?
Select one:
a. Al cannot disclose this information because it was told to him in
confidence by his client.
b. Al should tell Sam not to fill out the property disclosure form.
c. If Al discloses the information he is breaching his fiduciary duty of
obedience.
d. Al must disclose this information because it is a material defect
d. Al must disclose this information because it is a material defect
215
Agent Annie notices some mold in a corner of the basement of a house she is
showing to a prospective buyer. What should she do?
Select one:
a. Give the buyer the mold information pamphlet, but not mention the
presence of the mold.
b. Mention it to the buyer but tell them it will come off with bleach so it's not a problem.
c. Nothing, since mold is common and does not have to be disclosed.
d. Point it out to the buyer and give them the mold information pamphlet.
d. Point it out to the buyer and give them the mold information pamphlet.
216
When there is no written agency agreement, who does the licensee represent in
a transaction?
Select one:
A. the one he is with
B. the buyer
C. the seller
D. both
A. the one he is with
217
What duties are owed to the customer by the licensee?
Select one:
A. obedience
B. confidentiality
C. all of the above
D. honesty and fairness
D. honesty and fairness
218
A licensee representing a client does not breach a duty or obligation to the
client by showing alternative properties to prospective buyers or tenants or by
showing properties in which the client is interested to other prospective buyers
or tenants.
Select one:
True
False
True
219
Which of the following CAN NOT be disclosed by the licensee when acting as a
dual agent?
Select one:
A. material defects
B. Confidential information about the seller
C. Confidential information about the buyer
D. Confidential information about buyer or seller
D. Confidential information about buyer or seller
220
How is sub-agency created in Louisiana?
Select one:
A. by membership in MLS
B. Both B and C
C. by written agreement
D. by acting as a co-op agent
C. by written agreement
221
A licensee may act as a dual agent
Select one:
A. only with the informed written consent of all clients.
B. when it is in the best interest of the parties involved.
C. whenever the agent is the listing agent.
D. when the agent is the designated agent.
A. only with the informed written consent of all clients.
222
A person who holds a real estate license is known as a/an:
Select one:
a. broker.
b. salesperson.
c. licensee.
d. registrant.
c. licensee.
223
A licensee who is employed by and represents only the buyer in a real estate
transaction, regardless of whether the agent’s commission is paid by the buyer
or by the seller is known as a:
Select one:
A. selling agent
B. buyer's agent
C. buyer broker
D. This is not legal.
B. buyer's agent
224
A real estate broker who holds a salesperson's license is a:
Select one:
A. associate broker
B. qualifying broker
C. manager
D. sponsoring broker
D. sponsoring broker
225
Commissioners are appointed for a term of 2 years.
Select one:
True
False
False
226
How many "at large" members of the Commission are there?
Select one:
a. Two
b. Four
c. Seven
d. Eleven
a. Two
227
The Louisiana Real Estate Commission consists of how many members?
Select one:
A. 6
B. 11
C. 3
D. 12
B. 11
228
Who is responsible for adopting the Rules & Regulations of the Real Estate
Commission?
Select one:
a. The governor.
b. The Commissioners.
c. The staff of the Real Estate Commission.
d. The executive director of the Real Estate Commission.
b. The Commissioners.
229
Licensees who have been on inactive status for more than 5 years must do
what to activate their license?
Select one:
a. apply as a new applicant.
b. complete 80 hours of continuing education.
c. complete 60 hours of continuing education.
d. retake the state exam.
b. complete 80 hours of continuing education.
230
What are the requirements for obtaining a real estate salesperson license in
Louisiana?
Select one:
A. Must complete 90 hours of approved real estate coursework.
B. Must be a high school graduate, or equivalent.
C. Must pass the state exam.
D. All of the above.
D. All of the above.
231
All licensees are required to complete ____ hours continuing education each
year.
Select one:
A. 6
B. 8
C. 10
D. 12
D. 12
232
When may a licensee transfer from inactive to active status?
Select one:
a. At any time.
b. Only after 6 months.
c. Only during the renewal period.
d. At the end of the year.
a. At any time.
233
How many hours of post licensing course work are required of brokers?
Select one:
a. None
b. 30
c. 12
d. 45
d. 45
234
How long may a licensee remain on inactive status?
Select one:
a. The time is unlimited.
b. No more than 5 years.
c. Only until the end of the renewal period.
d. Only until he/she finds a new broker.
a. The time is unlimited.
235
When a corporation, limited liability company or partnership is dissolved, the
licenses of the qualifying broker and other sponsored licensees must be returned to the Commission within ____ days.
Select one:
A. 5
B. 3
C. 10
D. 30
A. 5
236
The broker’s license is required to show
Select one:
A. name of business
B. address of business
C. name of agents
D. Both A and B
D. Both A and B
237
Each sales or associate broker’s license is required to show
Select one:
A. the name of the licensee
B. the name of the broker or company name
C. address of licensee
D. Both A and B
D. Both A and B
238
Upon termination of the association of an associate broker or salesperson with
his sponsoring broker, the broker shall return the license to the Commission
within
Select one:
A. 24 hours
B. 5 days
C. 3 days
D. 10 days
B. 5 days
239
John, who does not hold a real estate license, had some experience with selling
his own homes, so he offered to assist his neighbor in selling her home for which she paid him a fee of $300. Which of the following is true?
Select one:
a. This is illegal because they did not file a request with the Commission.
b. This is admissible because it was a flat fee and not a percentage of the sale.
c. This is admissible because it was between two private parties.
d. It is illegal for unlicensed persons to charge a fee for transacting real estate.
d. It is illegal for unlicensed persons to charge a fee for transacting real estate.
240
A real estate license is issued for a period of
Select one:
A. two years
B. one calendar year
C. three years
D. five years
B. one calendar year
241
If a real estate broker conducts business from more than one place of business,
which of the following is true?
Select one:
A. No license is required.
B. None of the above.
C. He is required to have one license for his main office only.
D. He is required to have a branch office license for each place of business.
D. He is required to have a branch office license for each place of business.
242
The fee for renewing your license after September 30th but before November
16th is:
Select one:
a. $50
b. $75
c. $100
d. $150
a. $50
243
An associate broker or salesperson can assign payment of his or her commission to an unlicensed corporation or limited liability company of which he or she is the sole officer, director or shareholder.
Select one:
A. True
B. False
A. True
244
How many sponsoring brokers may a salesperson have?
Select one:
a. as many as needed
b. one sponsoring broker and one qualifying broker
c. one for each state in which he or she is licensed.
d. one.
c. one for each state in which he or she is licensed.
245
Demanding a referral fee when reasonable cause does not exist is unlawful.
Select one:
True
False
True
246
How long does the agent have to provide his principle with a copy of a document which the principle has signed?
Select one:
A. It should be done immediately.
B. Within one week.
C. Within 3 days.
D. Within 5 days.
A. It should be done immediately.
247
For which of the following properties would the mandatory Purchase
Agreement NOT be required?
Select one:
a. A condominium.
b. A single family home.
c. An office building.
d. A four-plex.
c. An office building.
248
Written agreements for the sale or management of real estate are required to specify a definite expiration date.
Select one:
A. True
B. False
A. True
249
How long are brokers required to retain records of real estate transactions?
Select one:
A. one year
B. two years
C. three years
D. five years
D. five years
250
A franchise agreement allows a real estate broker to use registered trademarks
and other advertising tools to create a common identity among several brokers
nationally or regionally for marketing purposes.
Select one:
True
False
True
251
How many days after passing the licensing exam does an applicant have in which to submit the affidavit of sponsorship to the Commission?
Select one:
a. 90
b. 60
c. 30
d. 120
a. 90
252
The examination authorization shall be valid for one examination and shall expire 90 days after the date it is issued.
Select one:
True
False
True
253
Out of state applicants applying for a Louisiana real estate license who are
currently or previously licensed in another state which does not have reciprocity
with Louisiana, and have taken an equivalent exam in that state must do which of the following?
Select one:
A. They must take the full exam.
B. They do not have to take an exam.
C. They must take only the Louisiana portion of the exam.
D. They must begin as a new applicant.
C. They must take only the Louisiana portion of the exam.
254
The examination authorization form issued by the Commission shall be valid
for how many days?
Select one:
a. 90 days
b. 30 days
c. 15 days
d. 45 days
a. 90 days
255
if an applicant for licensing does not take the state exam within 90 days after
turning in his license application to the Commission what will happen?
Select one:
A. The applicant must reapply to the Commission.
B. The applicant must wait six months.
C. The applicant must re-take the 90 hour course.
D. Nothing, the applicant has 6 months to take the exam.
A. The applicant must reapply to the Commission.
256
Licensees must complete ____ hours of continuing education each year.
Select one:
A. 8
B. 12
C. 16
D. None
B. 12
257
A transfer fee will not be charged when the salesperson or associate broker
applies for transfer within 60 days of
Select one:
A. the death of the sponsoring broker
B. suspension or revocation of the sponsoring broker
C. transfer of the sponsoring broker
D. all of the above
D. all of the above
258
When a licensed agency is purchased by another licensed agency, the sponsoring broker of the acquiring agency must notify the Commission within
Select one:
A. 2 business days
B. 3 business days
C. 5 business days
D. 7 business days
C. 5 business days
259
A broker may be concurrently licensed as:
Select one:
A. an individual broker
B. the designated qualifying broker of a corporation
C. the designated qualifying broker of an LLC or partnership
D. Any of the above.
D. Any of the above.
260
A broker may be concurrently licensed as:
Select one:
A. an individual broker
B. the designated qualifying broker of a corporation
C. the designated qualifying broker of an LLC or partnership
D. Any of the above.
D. Any of the above.
261
The name on a license, registration or timeshare certificate must be
Select one:
A. the name of the individual licensee
B. the name of the corporation, partnership or limited liability company as
registered with the Secretary of State
C. trade names registered with the Secretary of State.
D. Any of the above.
D. Any of the above.
262
A broker may be concurrently licensed as:
Select one:
A. an individual broker
B. the designated qualifying broker of a corporation
C. the designated qualifying broker of an LLC or partnership
D. Any of the above.
D. Any of the above.
263
Any licensee who buys property or sells his own property must disclose
Select one:
A. the name of his broker
B. his license number
C. that he is a licensed agent
D. all of the above
C. that he is a licensed agent
264
A broker advertising on an internet site or e-mail must include on each page
Select one:
A. the broker's name
B. the city and state in which the broker's office is located
C. Any trade name as registered with the Commission
D. All of the above.
D. All of the above.
265
For how many branch offices may a sponsoring broker be designated as the
managing broker?
Select one:
a. One or more.
b. None.
c. One.
d. Three.
a. One or more.
266
Who may open and maintain an escrow account?
Select one:
a. Individual real estate brokers
b. Individual brokers and associate brokers
c. Individual brokers, associate brokers, and salespersons
d. Anyone
a. Individual real estate brokers
267
Can a broker open additional escrow account to accommodate business
transacted out of branch offices?
Select one:
A. Yes
B. No
A. Yes
268
Which of the following statements is TRUE regarding escrow accounts?
Select one:
A. A broker may open an additional escrow account when it is in the
interest of the principal parties to a particular transaction.
B. Escrow account must be non-interest bearing unless all parties having an interest in the funds deposited in the account have agreed otherwise in writing.
C. Personal funds of $2500 or less may be kept in an escrow account.
D. All of the above.
D. All of the above.
269
For which of the following reasons can money in an escrow account be withdrawn?
Select one:
A. to return the funds to the buyer at the time of closing
B. upon mutual written consent of all parties
C. upon court order
D. all of the above
D. all of the above
270
Within ___ days following the transfer of funds, the sponsoring broker of the
acquired agency shall close the escrow accounts and trust accounts from
which the funds were transferred and shall advise the commission in writing
when such action has been completed.
Select one:
a. 10
b. 5
c. 3
d. 2
a. 10
271
Disputes over disbursement of escrow funds may be resolved by all of the
following EXCEPT:
Select one:
a. By the Real Estate Commission
b. By reasonable interpretation of the broker holding the funds
c. By mutual agreement of all parties involved
d. By court order
a. By the Real Estate Commission
272
Licensees must notify the Real Estate Commission within 10 days of a change
in mailing address OR physical address.
Select one:
True
False
True
273
The Commission shall be notified within ___ days of a change of a licensee's
phone number.
Select one:
a. 10
b. 5
c. 3
d. 30
a. 10
274
When involved in the sale or lease of real property, with whom must the licensee
provide an agency disclosure informational pamphlet?
Select one:
A. the seller
B. the buyer
C. the seller and the buyer
D. all parties to the transaction
D. all parties to the transaction
275
When a licensee is acting as a principal in a real estate transaction, he must disclose the fact that he is licensed. Which of the following would be considered as being a principal to a transaction?
Select one:
a. When selling property which he owns or has an ownership interest.
b. When acting as a listing agent.
c. When acting as the buyer's agent.
d. When acting as a dual agent.
a. When selling property which he owns or has an ownership interest.
276
If a licensee holds any interest in a property involved in a real estate transaction, his or her status as licensee must be disclosed in writing to all parties prior to entering into any negotiations concerning the execution of a real estate
contract.
Select one:
True
False
True
277
A copy of a rejected offer or counter offer shall be provided to the buyer or
seller within
Select one:
A. 24 hours
B. 2 days
C. 3 days
D. 5 days
D. 5 days
278
Licensees are required to use the Residential Agreement to Buy or Sell as
prescribed the Louisiana Real Estate Commission.
Select one:
True
False
True
279
When must written offers and counter offers for the purchase of real estate be
presented to buyers and/or sellers?
Select one:
A. within 24 hours
B. immediately
C. within 72 hours
D. within 5 days
B. immediately
280
When given permission by the seller a listing broker or designated agent may
reject an offer or counter offer and sign the rejection in lieu of the seller.
Select one:
True
False
True
281
If a franchise applicant is not a resident of Louisiana, which of the following
statements is TRUE?
Select one:
a. The applicant shall appoint a licensed active Louisiana individual real estate broker to act as the applicant's agent for the service of all judicial process or legal notices.
b. The applicant may not apply for a franchise in Louisiana.
c. The applicant must first obtain a Louisiana broker's license.
d. The applicant may apply as an out-of-state applicant.
a. The applicant shall appoint a licensed active Louisiana individual real estate broker to act as the applicant's agent for the service of all judicial process or legal notices.
282
The penalty for operating as a franchiser of real estate brokerage firms without
the authority of the Commission is
Select one:
A. The company cannot do business in Louisiana for a period of one year.
B. The company can never do business in Louisiana.
C. The company's license is suspended for 6 months.
D. There is no penalty issued by the Commission.
A. The company cannot do business in Louisiana for a period of one year.
283
If a complaint is made to the Commission alleging a violation of the License Law or Rules & Regulations, the complaint must be
Select one:
A. signed by the complainant
B. signed by an attorney
C. registered with the Clerk of Court
D. none of the above
A. signed by the complainant
284
If the respondent does not admit to having committed a violation, then the
violations must be addressed through
Select one:
A. a formal adjudicatory hearing
B. a court of law
C. the 19th judicial court
D. none of the above
A. a formal adjudicatory hearing
285
Licensees and their spouses who are on active military status and are transferred out of the state may renew their licenses without penalty for up to
Select one:
A. 3 months following honorable discharge
B. 6 months following honorable discharge
C. 9 months following honorable discharge
D. 1 year following honorable discharge
B. 6 months following honorable discharge
286
If an out-of-state broker is co-operating with a Louisiana broker in the listing of
real property in Louisiana, can the out-of-state broker place a sign on the property?
Select one:
a. Only with the written consent of the Louisiana broker.
b. No, never.
c. Yes, always.
d. Both brokers are required to place a sign on the property.
a. Only with the written consent of the Louisiana broker.
287
It shall be the duty of every licensee to notify the commission within __ days by
registered or certified mail or hand delivery of any sanction imposed on the
licensee by another jurisdiction.
Select one:
a. 10 days
b. 5 days
c. 20 days
d. 60 days
a. 10 days
288
Which of the following is true when a Louisiana broker elects to work with a
licensed broker of another state in the sale of property in Louisiana?
Select one:
A. Any monies collected on behalf of others must be placed in the
Louisiana broker's escrow account.
B. Any advertising must contain the names of both brokers.
C. Any commissions must be paid to the Louisiana broker, who will then
compensate the out of state broker.
D. All of the above.
D. All of the above.
289
When a Louisiana broker elects to co-operate with an out-of-state broker in the
sale of real property in Louisiana, how are any fees paid?
Select one:
a. Any fees must be paid to the Louisiana broker who will then compensate the out-of-state broker.
b. Any fees must be paid to the broker who originally obtained the listing.
c. Any fees may be paid to either broker, who will then compensate the
other broker.
d. Any fees must be paid to the out-of-state broker, who may then give a
referral fee to the Louisiana broker.
a. Any fees must be paid to the Louisiana broker who will then compensate the out-of-state broker.
290
When a licensed broker elects to share a part of a real estate commission with
a licensed broker in another jurisdiction who is acting only as a referral agent
and is not involved in the actual negotiations, this payment is known as a
Select one:
A. stipend
B. referral fee
C. agent
D. This is illegal.
B. referral fee
291
Applications for registration as a franchiser in Louisiana shall contain which of the following?
Select one:
a. A certified, audited financial statement disclosing the current financial condition of the applicant;
b. Name, address, and whether the applicant is a person, partnership,
limited liability company, or corporation;
c. A statement of the business activities of the applicant, including a description of the franchise agreement
d. All of the above
d. All of the above
292
Each application for renewal by a franchiser shall be submitted on or
before_____ of each year and shall reflect the information required by the
Commission for the preceding year.
Select one:
a. December 31
b. January 1
c. January 15
d. February 1
c. January 15
293
Whose duty is it to ensure that a licensee is aware of the laws regulating the
real estate industry?
Select one:
A. the licensee
B. the broker
C. the Commission
D. All of the above.
A. the licensee
294
After a hearing, and upon determination that any federal or state law or commission regulation has been or will be violated by any franchiser that is subject to the rules and regulations, the Real Estate Commission may do which
of the following?
Select one:
a. Withdraw the franchise registration
b. Issue a cease and desist order
c. Either A or B
d. A and/or B
d. A and/or B
295
Non-resident licensees are bound by the provisions of the Louisiana Real Estate
License Law.
Select one:
True
False
True
296
Louisiana licensees may automatically become licensed in
Select one:
A. States with which Louisiana has a reciprocal agreement.
B. States which border Louisiana
C. States in the southeastern section
D. No other states.
A. States with which Louisiana has a reciprocal agreement.
297
Which of the following is true when a Louisiana broker elects to work with a
licensed broker of another state in the sale of property in Louisiana?
Select one:
A. Any monies collected on behalf of others must be placed in the
Louisiana broker's escrow account.
B. Any advertising must contain the names of both brokers.
C. Any commissions must be paid to the Louisiana broker, who will then
compensate the out of state broker.
D. All of the above.
D. All of the above.
298
When a Louisiana broker opts to co-operate with an out-of-state broker in the
sale or lease of real property, all advertising must contain:
Select one:
a. The names of both the Louisiana broker and the out-of-state broker.
b. The name of the Louisiana broker only.
c. The name of the out-of-state broker only.
d. Either the name of the Louisiana broker or the name of the out-of-state broker.
a. The names of both the Louisiana broker and the out-of-state broker.
299
Any person residing in and licensed as a real estate broker or salesperson in a
state whose appropriate authority has entered into a reciprocal agreement with
the commission shall be granted an equivalent non-resident license by the
commission upon applying and complying with the applicable requirements.
Select one:
True
False
True
300
No person shall at any time, while on the premises of a certified real estate school, discuss the sponsorship of any student by any licensee of the Commission.
Select one:
True
False
True
301
Salesman Sam brings an offer to Agent Ann on a house she has listed. Ann
positively knows of a better offer that is expected to come in later that day. She
should
Select one:
A. Wait for the better offer to arrive and present them both at the same time.
B. Not present it since he knows a better offer is coming.
C. Present Sam’s offer immediately.
D. None of the above.
C. Present Sam’s offer immediately.
302
When advertising on the internet, the broker’s name, city and state must
appear on all EXCEPT:
Select one:
A. bulletin boards
B. e-mails
C. websites
D. None of the above, no sites are exempt from this rule.
D. None of the above, no sites are exempt from this rule.
303
Which of the following is NOT a requirement for obtaining a Louisiana real
estate license?
Select one:
A. Applicant must pass a state exam.
B. Applicant must be 18 years or older.
C. Applicant must be a U.S. citizen.
D. Applicant must complete the required education hours.
C. Applicant must be a U.S. citizen.
304
Security deposits received by a property manager must be placed in
Select one:
A. a savings account
B. the operating account
C. the rental deposit trust account
D. the security deposit trust account
D. the security deposit trust account
305
Which of the following must be reported to the Commission within 10 days?
Select one:
A. deposits made to escrow accounts
B. licensee’s change of address and/or phone number
C. disbursements made from escrow accounts.
D. Licensee’s intention to transfer his license.
B. licensee’s change of address and/or phone number
306
Licensee's must provide an agency disclosure pamphlet to
Select one:
A. Only when acting as a dual agent.
B. the seller only
C. all parties to a real estate transaction involving the sale or lease of
real property.
D. the buyer only
C. all parties to a real estate transaction involving the sale or lease of
real property.
307
Which of the following is TRUE regarding non-resident broker's escrow accounts?
Select one:
A. They may not have escrow accounts.
B. They must be at a financial institution in the state in which they reside.
C. They may be in financial institutions in Louisiana or in the state in which they reside.
D. They must be at a financial institution in Louisiana.
C. They may be in financial institutions in Louisiana or in the state in which they reside.
308
Every applicant for a license must submit a sworn statement attesting that he
or she has knowledge of
Select one:
A. the License Laws
B. the Fair Housing Act
C. Civil Law
D. the location of the Commission
B. the Fair Housing Act
309
When a sponsoring broker’s license is revoked, what happens to the
licenses of his agents?
Select one:
A. They are automatically transferred to another broker.
B. They are automatically revoked.
C. They are automatically suspended.
D. They are automatically placed on inactive status.
C. They are automatically suspended.
310
The examination authorization shall be valid for one examination and shall
expire 90 days after the date it is issued.
Select one:
True
False
True
311
What happens if a licensee fails to turn in the affidavit of sponsorship to the
Commission within 90 days after passing the licensing exam?
Select one:
a. The applicant must reapply.
b. The applicant will have to take the exam again.
c. The Commission will issue an inactive license.
d. The applicant will be charged a $90 fee.
c. The Commission will issue an inactive license.
312
How long must the licensee retain the signed portion of the agency disclosure
pamphlet?
Select one:
A. until the sale is closed
B. for 10 years
C. for 3 years
D. for 5 years
D. for 5 years
313
All of the following would constitute "substantive contact" EXCEPT:
Select one:
a. When performing ministerial acts for the customer
b. The customer divulges confidential information
c. When obtaining a listing agreement
d. When performing any real estate related activity with the customer
a. When performing ministerial acts for the customer
314
Who must sign the agency disclosure pamphlet?
Select one:
A. The licensee and prospective seller/lessor or buyer/lessee.
B. The licensee only.
C. The prospective seller/lessor or buyer/lessee.
D. Neither.
A. The licensee and prospective seller/lessor or buyer/lessee.
315
When should the dual agency disclosure form be presented and signed?
Select one:
a. At the closing.
b. At the time the brokerage agreement is entered into or at any time before the licensee acts as a dual agent.
c. When the property is shown.
d. When the listing agreement is signed.
b. At the time the brokerage agreement is entered into or at any time before the licensee acts as a dual agent.
316
What is the official source of any mold informational pamphlet approved by the
Louisiana Real Estate Commission?
Select one:
a. HUD
b. The Home Inspectors Association
c. MLS
d. The United State Environmental Protection Agency
d. The United State Environmental Protection Agency
317
What form must be used when entering into a dual agency transaction?
Select one:
A. No form is needed
B. Agent-Client Disclosure Form
C. Dual agency is illegal.
D. Dual Agency Disclosure Form
D. Dual Agency Disclosure Form
318
A copy of a rejected offer or counter offer shall be provided to the buyer or
seller within
Select one:
A. 5 days
B. 24 hours
C. 3 days
D. 2 days
A. 5 days
319
Licensees are required to use the Residential Agreement to Buy or Sell as
prescribed the Louisiana Real Estate Commission.
Select one:
True
False
True
320
If a licensee who chooses to deliver mold information to a buyer, which of the
following should he use?
Select one:
a. "A Brief Guide to Mold, Moisture, and Your Home"
b. "Mold Remediation in Schools and Commercial Buildings"
c. the United States Environmental Protection Agency (EPA) website
d. Any of the above
d. Any of the above
321
Upon documented probable cause ______ may issue written authorization to
investigate apparent violations of the Louisiana Real Estate License Law and/or
the Rules and Regulations of the commission.
Select one:
a. The executive director of the Louisiana Real Estate Commission
b. Any individual
c. Any licensee
d. Any state investigator
a. The executive director of the Louisiana Real Estate Commission
322
How many days does a respondent have in which to file a petition for judicial
review of the findings of the Commission resulting from an investigation?
Select one:
A. 10
B. 30
C. 90
D. 60
B. 30
323
If the respondent does not admit to having committed a violation, then the
violations must be addressed through
Select one:
A. none of the above
B. a court of law
C. a formal adjudicatory hearing
D. the 19th judicial court
C. a formal adjudicatory hearing
324
Whose duty is it to ensure that a licensee is aware of the laws regulating the
real estate industry?
Select one:
A. the licensee
B. the broker
C. the Commission
D. All of the above.
A. the licensee
325
In order to operate a real estate business under a franchise, the franchise name
must be
Select one:
A. a nationally recognized name
B. a registered trademark
C. registered with the Louisiana Real Estate Commission
D. none of the above.
C. registered with the Louisiana Real Estate Commission
326
If a franchise applicant is not a resident of Louisiana, which of the following
statements is TRUE?
Select one:
a. The applicant may not apply for a franchise in Louisiana.
b. The applicant shall appoint a licensed active Louisiana individual real estate broker to act as the applicant's agent for the service of all judicial processes or legal notices.
c. The applicant must first obtain a Louisiana broker's license.
d. The applicant may apply as an out-of-state applicant.
b. The applicant shall appoint a licensed active Louisiana individual real estate broker to act as the applicant's agent for the service of all judicial processes or legal notices.
327
Franchise registrations must be renewed how often?
Select one:
a. Never
b. Every 5 years
c. Each year
d. Every two years
c. Each year
328
How many days does a respondent have in which to file a petition for judicial
review of the findings of the Commission resulting from an investigation?
Select one:
A. 10
B. 60
C. 30
D. 90
C. 30
329
If a complaint is made to the Commission alleging a violation of the License Law or Rules & Regulations, the complaint must be
Select one:
A. signed by the complainant
B. signed by an attorney
C. registered with the Clerk of Court
D. none of the above
A. signed by the complainant
330
It shall be the duty of every licensee to notify the commission within __ days by
registered or certified mail or hand delivery of any sanction imposed on the
licensee by another jurisdiction.
Select one:
a. 20 days
b. 60 days
c. 10 days
d. 5 days
c. 10 days
331
When a licensed broker elects to share a part of a real estate commission with
a licensed broker in another jurisdiction who is acting only as a referral agent
and is not involved in the actual negotiations, this payment is known as a
Select one:
A. stipend
B. referral fee
C. agent
D. This is illegal.
B. referral fee
332
Which of the following is true when a Louisiana broker elects to work with a
licensed broker of another state in the sale of property in Louisiana?
Select one:
A. Any monies collected on behalf of others must be placed in the
Louisiana broker's escrow account.
B. Any advertising must contain the names of both brokers.
C. Any commissions must be paid to the Louisiana broker, who will then
compensate the out of state broker.
D. All of the above
D. All of the above
333
Licensees and their spouses who are on active military status and are transferred out of the state may renew their licenses without penalty for up to
Select one:
A. 9 months following honorable discharge
B. 1 year following honorable discharge
C. 3 months following honorable discharge
D. 6 months following honorable discharge
D. 6 months following honorable discharge
334
Any person residing in and licensed as a real estate broker or salesperson in a
state whose appropriate authority has entered into a reciprocal agreement with
the commission shall be granted an equivalent non-resident license by the
commission upon applying and complying with the applicable requirements.
Select one:
True
False
True
335
In order for an out of state applicant to apply for a reciprocal license in
Louisiana, the applicant may not have been a resident of Louisiana for more
than _____ days
Select one:
a. 60
b. 120
c. 90
d. 30
c. 90
336
Any applicant who takes and fails to pass the initial licensing exam must
Select one:
A. apply to the Commission to retake the exam and pay a processing fee.
B. go back to real estate school.
C. Can not get a real estate license.
D. Can retake the exam the next day.
A. apply to the Commission to retake the exam and pay a processing fee.
337
If an applicant for licensing does not take the state exam within 90 days after
turning in his license application to the Commission what will happen?
Select one:
A. The applicant must reapply to the Commission.
B. The applicant must wait six months.
C. The applicant must re-take the 90 hour course.
D. Nothing, the applicant has 6 months to take the exam.
A. The applicant must reapply to the Commission.
338
Out of state applicants applying for a Louisiana real estate license who are
currently or previously licensed in another state which does not have reciprocity
with Louisiana, and have taken an equivalent exam in that state must do which of the following?
Select one:
A. They do not have to take an exam.
B. They must begin as a new applicant.
C. They must take only the Louisiana portion of the exam.
D. They must take the full exam.
C. They must take only the Louisiana portion of the exam.
339
A licensee may not renew his license on active status unless he or she has
completed ____ hours of continuing education during the immediately preceding license period.
Select one:
A. 12
B. 8
C. 10
D. 4
A. 12
340
A salesperson or associate broker may not be issued a license until the license of his or her sponsoring broker has been renewed.
Select one:
A. False
B. True
B. True
341
A transfer fee will not be charged when the salesperson or associate broker
applies for transfer within 60 days of
Select one:
A. the death of the sponsoring broker
B. suspension or revocation of the sponsoring broker
C. transfer of the sponsoring broker
D. all of the above
D. all of the above
342
Licensees must complete ____ hours of continuing education each year.
Select one:
A. 12
B. 8
C. 16
D. None
A. 12
343
All licensees must complete 45 hours of post license work within ____ days.
Select one:
A. 180
B. 60
C. 30
D. 90
A. 180
344
Upon termination of a licensee’s relationship with a sponsoring broker, the
licensee shall turn over to the broker:
Select one:
A. all listing information, contracts, and agency forms
B. keys to listed properties
C. documents obtained from the sponsoring broker during the business
relationship.
D. All of the above.
D. All of the above.
345
The name on a license, registration or timeshare certificate must be
Select one:
A. the name of the individual licensee
B. the name of the corporation, partnership or limited liability company as
registered with the Secretary of State
C. trade names registered with the Secretary of State.
D. Any of the above.
D. Any of the above.
346
Any licensee who buys property or sells his own property must disclose
Select one:
A. the name of his broker
B. his license number
C. that he is a licensed agent
D. all of the above
C. that he is a licensed agent
347
Every branch office shall be under the direct supervision of a licensed individual
broker who shall be designated in writing as the branch office manager. A copy
of the designation shall be submitted to the commission within ___ days
following the date of the original designation or any changes thereto.
Select one:
a. 3
b. 10
c. 5
d. 2
c. 5
348
A broker advertising on an internet site or e-mail must include on each page
Select one:
A. the broker's name
B. the city and state in which the broker's office is located
C. Any trade name as registered with the Commission
D. All of the above.
D. All of the above.
349
For how many branch offices may a sponsoring broker be designated as the
managing broker?
Select one:
a. One.
b. One or more.
c. Three.
d. None.
b. One or more.
350
Who may open and maintain an escrow account?
Select one:
a. Individual brokers, associate brokers, and salespersons
b. Anyone
c. Individual real estate brokers
d. Individual brokers and associate brokers
c. Individual real estate brokers
351
Which of the following statements is TRUE regarding escrow accounts?
Select one:
A. A broker may open an additional escrow account when it is in the
interest of the principal parties to a particular transaction.
B. Escrow account must be non-interest bearing unless all parties having an interest in the funds deposited in the account have agreed otherwise in writing.
C. Personal funds of $2500 or less may be kept in an escrow account.
D. All of the above.
D. All of the above.
352
All funds collected as rental payments from or on behalf of clients in
connection with the management of properties owned by other persons shall be deposited into what type of account?
Select one:
a. Security Deposit Trust Account
b. Operating Account
c. Rental Trust Account
d. Sales Escrow Account
c. Rental Trust Account
353
A sum not to exceed _____ may be kept in each sales escrow checking account,
rental trust checking account, and security deposit trust checking account to cover bank service charges relating to the accounts.
Select one:
a. $5000
b. $250
c. $2500
d. $500
c. $2500
354
Within ___ days following the transfer of funds upon acquisition of a licensed
agency by another licensed agency, a letter jointly signed by the sponsoring
brokers of the acquired agency and the acquiring agency shall be forwarded to
the commission certifying that all trust funds have been transferred.
Select one:
a. 3
b. 2
c. 5
d. 10
c. 5
355
Within ___ days following the transfer of funds, the sponsoring broker of the
acquired agency shall close the escrow accounts and trust accounts from
which the funds were transferred and shall advise the commission in writing
when such action has been completed.
Select one:
a. 10
b. 2
c. 5
d. 3
a. 10
356
If a broker’s license is terminated for any reason, what happens to his escrow accounts.
Select one:
A. They must be closed.
B. They must be turned over to another broker.
C. They must be maintained until all monies are disbursed
D. They are taken over by the Commission.
C. They must be maintained until all monies are disbursed
357
How many days does a licensee, registrant, or certificate holder have to notify the Commission of a change of address for business or residence?
Select one
A. 10 days
B. 14 days
C. 5 days
D. 3 days
A. 10 days
358
If a licensee holds any interest in a property involved in a real estate transaction, his or her status as licensee must be disclosed in writing to all parties prior to entering into any negotiations concerning the execution of a real estate
contract.
Select one:
True
False
True
359
What should be done with escrow funds when there is a dispute as to ownership of the funds and an agreement cannot be reached?
Select one:
A. The broker may disburse the funds based on a reasonable interpretation of the contract.
B. The funds may be deposited into the registry of any court of competent
jurisdiction through a concursus proceeding.
C. The funds may be disbursed upon the written mutual consent of all
parties involved.
D. Any of the above.
D. Any of the above.
360
When involved in the sale or lease of real property, with whom must the licensee
provide an agency disclosure informational pamphlet?
Select one:
A. the seller and the buyer
B. the seller
C. the buyer
D. all parties to the transaction
D. all parties to the transaction
361
Education requirements for a salesperson are
Select one:
A. 90 hours pre-licensing
B. 120 hours pre-licensing
C. 90 hours pre-licensing and 45 hours post licensing
D. 150 hours pre-licensing
C. 90 hours pre-licensing and 45 hours post licensing
362
Which of the following is TRUE regarding non-resident broker's escrow accounts?
Select one:
A. They may be in financial institutions in Louisiana or in the state in which they reside.
B. They must be at a financial institution in the state in which they reside.
C. They must be at a financial institution in Louisiana.
D. They may not have escrow accounts.
A. They may be in financial institutions in Louisiana or in the state in which they reside.
363
Which of the following can have an escrow account?
Select one:
A. any broker
B. any licensee
C. a sponsoring or qualifying broker
D. a sponsoring broker or an associate broker
C. a sponsoring or qualifying broker
364
The Board of Realtors has the power to do which of the following?
Select one:
A. investigate the licensee
B. prosecute the licensee
C. suspend a license
D. none of the above
D. none of the above
365
The fee to transfer your license to a new sponsoring broker must be paid when
_______________.
Select one:
A. The sponsoring broker's license has been revoked.
B. The sponsoring broker has died.
C. You want to go with a different company.
D. The sponsoring broker has failed to renew his license.
C. You want to go with a different company.
366
When advertising on the internet, the broker’s name, city and state must
appear on all EXCEPT:
Select one:
A. bulletin boards
B. e-mails
C. websites
D. None of the above, no sites are exempt from this rule.
D. None of the above, no sites are exempt from this rule.
367
Which of the following is NOT a requirement for obtaining a Louisiana real
estate license?
Select one:
A. Applicant must pass a state exam.
B. Applicant must complete the required education hours.
C. Applicant must be a U.S. citizen.
D. Applicant must be 18 years or older.
C. Applicant must be a U.S. citizen.
368
The main reason for the Real Estate Recovery Fund is to
Select one:
A. pay for legal fees incurred when the Commission is sued
B. pay for claims against licensees
C. pay the salaries of Commission employees
D. provide for education of licensees
B. pay for claims against licensees
369
Personal funds not to exceeed _______ may be kept in each escrow account to
cover bank service charges relating to the account.
Select one:
A. $5000
B. $2500
C. $500
D. $1000
B. $2500
370
What happens if a licensee fails to turn in the affidavit of sponsorship to the
Commission within 90 days after passing the licensing exam?
Select one:
a. The applicant must reapply.
b. The applicant will be charged a $90 fee.
c. The applicant will have to take the exam again.
d. The Commission will issue an inactive license
d. The Commission will issue an inactive license
371
The examination authorization form issued by the Commission will expire after:
Select one:
A. 30 days
B. one year
C. 180 days
D. 90 days
D. 90 days
372
What should the agent do if the seller/lessor or buyer/lessee refuses to sign the agency disclosure pamphlet?
Select one:
A. Tell his broker
B. Tell them that they must sign
C. Document the refusal and the reason and retain for 5 years.
D. Refuse to do business with the person.
C. Document the refusal and the reason and retain for 5 years.
373
When involved in the sale or lease of real property, with whom must the licensee
provide an agency disclosure informational pamphlet?
Select one:
A. the seller
B. the seller and the buyer
C. the buyer
D. all parties to the transaction
D. all parties to the transaction
374
Who must sign the agency disclosure pamphlet?
Select one:
A. The licensee and prospective seller/lessor or buyer/lessee.
B. The prospective seller/lessor or buyer/lessee.
C. The licensee only.
D. Neither.
A. The licensee and prospective seller/lessor or buyer/lessee.
375
Who must use the mandatory Purchase Agreement prescribed by the Louisiana
Real Estate Commission?
Select one:
a. Louisiana licensees selling any property in Louisiana
b. Anyone selling residential property in Louisiana
c. Louisiana licensees selling residential property
d. Anyone selling property in Louisiana
c. Louisiana licensees selling residential property
376
Licensees are required to use the Residential Agreement to Buy or Sell as
prescribed the Louisiana Real Estate Commission.
Select one:
True
False
True
377
In the event that the seller is not available, does the listing broker have the authority to reject an offer or counter offer on his behalf?
Select one:
A. Yes, if the seller gives permission to the broker.
B. Only if the seller is incapacitated.
C. Yes, if the broker knows that the seller would not want to accept it.
D. No, only the seller can reject an offer.
A. Yes, if the seller gives permission to the broker.
378
If a licensee who chooses to deliver mold information to a buyer, which of the
following should he use?
Select one:
a. "A Brief Guide to Mold, Moisture, and Your Home"
b. "Mold Remediation in Schools and Commercial Buildings"
c. the United States Environmental Protection Agency (EPA) website
d. Any of the above
d. Any of the above
379
Who must sign the dual agency disclosure form?
Select one:
a. All clients for whom the licensee acts as a dual agent.
b. The buyer only.
c. The licensee only.
d. The seller only.
a. All clients for whom the licensee acts as a dual agent.
380
Which of the following is TRUE regarding a licensee's obligations regarding mold information for prospective buyers?
Select one:
a. Licensees must advise the seller to have the property inspected for mold.
b. Licensees must provide all licensees with the website for mold info.
c. Licensees must provide all prospective buyers with a mold info brochure.
d. Licensees are not required to provide mold information to prospective buyers.
d. Licensees are not required to provide mold information to prospective buyers.
381
If a respondent in a violations complaint agrees to informal adjudicatory
proceedings, he or she must
Select one:
A. Admit that the violations were committed as alleged.
B. Accept the sanctions recommended by the hearing officer
C. Waive any rights to request a rehearing, reopening, or reconsideration by the Commission or by judicial appeal.
D. All of the above.
D. All of the above.
382
If an investigation by the Commission indicates that a violation of the License
Law may have occurred, what happens next?
Select one:
A. informal adjudicatory proceedings are initiated.
B. Formal adjudicatory proceedings are initiated.
C. Both A and B
D. Either A or B.
D. Either A or B.
383
If the respondent does not admit to having committed a violation, then the
violations must be addressed through
Select one:
A. a formal adjudicatory hearing
B. the 19th judicial court
C. none of the above
D. a court of law
A. a formal adjudicatory hearing
384
If the respondent does not admit to having committed a violation, then the
violations must be addressed through
Select one:
A. a court of law
B. a formal adjudicatory hearing
C. the 19th judicial court
D. none of the above
B. a formal adjudicatory hearing
385
If a respondent in a violations complaint agrees to informal adjudicatory
proceedings, he or she must
Select one:
A. Admit that the violations were committed as alleged.
B. Accept the sanctions recommended by the hearing officer
C. Waive any rights to request a rehearing, reopening, or reconsideration
by the Commission or by judicial appeal.
D. All of the above.
D. All of the above.
386
If an investigation by the Commission indicates that a violation of the License
Law may have occurred, what happens next?
Select one:
A. informal adjudicatory proceedings are initiated.
B. Formal adjudicatory proceedings are initiated.
C. Both A and B
D. Either A or B
D. Either A or B
387
Whose duty is it to ensure that a licensee is aware of the laws regulating the
real estate industry?
Select one:
A. the licensee
B. the broker
C. the Commission
D. All of the above.
A. the licensee
388
Applications for registration as a franchiser in Louisiana shall contain which of the following?
Select one:
a. A certified, audited financial statement disclosing the current financial
condition of the applicant;
b. Name, address, and whether the applicant is a person, partnership,
limited liability company, or corporation;
c. A statement of the business activities of the applicant, including a description of the franchise agreement
d. All of the above
d. All of the above
389
Franchise registrations must be renewed how often?
Select one:
a. Every 5 years
b. Never
c. Each year
d. Every two years
c. Each year
390
It shall be the duty of every licensee to notify the commission within __ days by
registered or certified mail or hand delivery of any sanction imposed on the
licensee by another jurisdiction.
Select one:
a. 60 days
b. 10 days
c. 20 days
d. 5 days
b. 10 days
391
No person shall at any time, while on the premises of a certified real estate
school, discuss the sponsorship of any student by any licensee of the
Commission.
Select one:
True
False
True
392
Licensees and their spouses who are on active military status and are
transferred out of the state may renew their licenses without penalty for up to
Select one:
A. 1 year following honorable discharge
B. 3 months following honorable discharge
C. 9 months following honorable discharge
D. 6 months following honorable discharge
D. 6 months following honorable discharge
393
When a Louisiana broker elects to co-operate with an out-of-state broker in the
sale of real property in Louisiana, how are any fees paid?
Select one:
a. Any fees must be paid to the Louisiana broker who will then compensate the out-of-state broker.
b. Any fees may be paid to either broker, who will then compensate the other broker.
c. Any fees must be paid to the out-of-state broker, who may then give a
referral fee to the Louisiana broker.
d. Any fees must be paid to the broker who originally obtained the listing.
a. Any fees must be paid to the Louisiana broker who will then compensate the out-of-state broker.
394
Which of the following is true when a Louisiana broker elects to work with a
licensed broker of another state in the sale of property in Louisiana?
Select one:
A. Any monies collected on behalf of others must be placed in the
Louisiana broker's escrow account.
B. Any advertising must contain the names of both brokers.
C. Any commissions must be paid to the Louisiana broker, who will then
compensate the out of state broker.
D. All of the above.
D. All of the above.
395
In order for an out of state applicant to apply for a reciprocal license in
Louisiana, the applicant may not have been a resident of Louisiana for more
than _____ days
Select one:
a. 30
b. 60
c. 120
d. 90
d. 90
396
Out of state applicants applying for a Louisiana real estate license who are
currently or previously licensed in another state which does not have reciprocity
with Louisiana, and have taken an equivalent exam in that state must do which of the following?
Select one:
A. They must take only the Louisiana portion of the exam.
B. They must take the full exam.
C. They must begin as a new applicant.
D. They do not have to take an exam.
A. They must take only the Louisiana portion of the exam.
397
Any applicant who takes and fails to pass the initial licensing exam must
Select one:
A. apply to the Commission to retake the exam and pay a processing fee.
B. Can not get a real estate license.
C. Can retake the exam the next day.
D. go back to real estate school.
A. apply to the Commission to retake the exam and pay a processing fee.
398
Licenses, registrations and certificates issued to a corporation, partnership or
limited liability company for any purpose shall be issued in the identical name
as registered with:
Select one:
a. the Louisiana Real Estate Commission.
b. the Secretary of State.
c. the Department of Commerce.
d. The Board of Realtors.
b. the Secretary of State.
399
A licensee may not renew his license on active status unless he or she has
completed ____ hours of continuing education during the immediately preceding license period.
Select one:
A. 4
B. 12
C. 8
D. 10
B. 12
400
Except as otherwise provided in these rules and regulations all fees submitted
to the commission are non-refundable.
Select one:
True
False
True
401
Licensees must complete ____ hours of continuing education each year.
Select one:
A. 8
B. 12
C. None
D. 16
B. 12
402
A transfer fee will not be charged when the salesperson or associate broker
applies for transfer within 60 days of
Select one:
A. the death of the sponsoring broker
B. suspension or revocation of the sponsoring broker
C. transfer of the sponsoring broker
D. all of the above
D. all of the above
403
When a licensed agency purchases or acquires another licensed agency, the
sponsoring broker of the acquiring agency shall give written notice to all
licensees transferred to the acquiring agency within ____ working days following
the date of acquisition
Select one:
a. 2
b. 5
c. 3
d. 10
b. 5
404
A broker may be concurrently licensed as:
Select one:
A. the designated qualifying broker of an LLC or partnership
B. Any of the above.
C. the designated qualifying broker of a corporation
D. an individual broker
B. Any of the above.
405
The name on a license, registration or timeshare certificate must be
Select one:
A. the name of the individual licensee
B. the name of the corporation, partnership or limited liability company as
registered with the Secretary of State
C. trade names registered with the Secretary of State.
D. Any of the above.
D. Any of the above.
406
An associate broker or salesperson advertising on an internet site or e-mail
must include on each page
Select one:
A. his or her name and name of sponsoring broker
B. the city and state in which the sponsoring broker's office is located
C. all of the above
C. all of the above
407
Which of the following is required in any advertisement involving the sale, lease
or management of real estate by any licensee?
Select one:
A. name of salesperson
B. name and telephone number of broker
C. address of listed property
D. name and address of broker
B. name and telephone number of broker
408
Once an agent obtains a listing agreement for a property, it is okay to place a for
sale sign on the property without obtaining permission from the seller.
Select one:
True
False
False
409
Who is ultimately responsible for branch office operations?
Select one:
a. The branch office manager
b. The associate broker managing the branch office
c. The individual sponsoring broker
d. The Real Estate Commission
c. The individual sponsoring broker
410
Who may open and maintain an escrow account?
Select one:
a. Individual real estate brokers
b. Individual brokers, associate brokers, and salespersons
c. Individual brokers and associate brokers
d. Anyone
a. Individual real estate brokers
411
When requested by the Commission, a broker must submit an account affidavit
attesting to the existence, location and account number of any escrow accounts within how many days of the request?
Select one:
A. 3
B. 10
C. 5
D. 20
C. 5
412
A sum not to exceed _____ may be kept in each sales escrow checking account,
rental trust checking account, and security deposit trust checking account to
cover bank service charges relating to the accounts.
Select one:
a. $500
b. $2500
c. $5000
d. $250
b. $2500
413
Non-resident brokers must maintain escrow accounts in
Select one:
A. Louisiana
B. The state in which they reside
C. both
D. Either
D. Either
414
Within ___ days following the transfer of funds upon acquisition of a licensed
agency by another licensed agency, a letter jointly signed by the sponsoring
brokers of the acquired agency and the acquiring agency shall be forwarded to
the commission certifying that all trust funds have been transferred.
Select one:
a. 10
b. 5
c. 2
d. 3
b. 5
415
When a licensed agency is acquired by another licensed agency, the transfer of
funds from the escrow accounts shall not occur without written approval from
the commission.
Select one:
True
False
True
416
If a broker’s license is terminated for any reason, what happens to his escrow accounts.
Select one:
A. They must be closed.
B. They must be maintained until all monies are disbursed
C. They are taken over by the Commission.
D. They must be turned over to another broker.
B. They must be maintained until all monies are disbursed
417
If a licensee holds any interest in a property involved in a real estate transaction, his or her status as licensee must be disclosed in writing to all parties prior to entering into any negotiations concerning the execution of a real estate
contract.
Select one:
True
False
True
418
Licensees must notify the Real Estate Commission within 10 days of a change
in mailing address OR physical address.
Select one:
True
False
True
419
The Commission shall be notified within ___ days of a change of a licensee's
phone number.
Select one:
a. 3
b. 30
c. 5
d. 10
d. 10
420
When must the agency disclosure pamphlet be given to the prospective
seller/lessor or buyer/lessee?
Select one:
A. at the time a contract is signed
B. at the first substantive contact
C. at the closing
D. any time before closing
B. at the first substantive contact
421
When a sponsoring broker’s license is revoked, what happens to the licenses of his agents?
Select one:
A. They are automatically revoked.
B. They are automatically suspended.
C. They are automatically placed on inactive status.
D. They are automatically transferred to another broker.
B. They are automatically suspended.
422
An agent wishes to receive a fee from a client for obtaining an appraisal. Is this
legal?
Select one:
A. Yes, because this is one of the duties the agent must perform for the client.
B. No.
C. Yes, as long as it is not more than $25.
D. Yes, as long as it is paid to the broker and disclosed to all parties.
A. Yes, because this is one of the duties the agent must perform for the client.
423
Within how many days must a broker notify the Commission of a change of his
business address?
Select one:
A. 3 days
B. 5 days
C. 7 days
D. 10 days
D. 10 days
424
Every applicant for a license must submit a sworn statement attesting that he or she has knowledge of
Select one:
A. the Fair Housing Act
B. the License Laws
C. the location of the Commission
D. Civil Law
A. the Fair Housing Act
425
The Commission has the right to revoke or suspend a license for all of the following EXCEPT
Select one:
A. making a false statement on the license application
B. refusing to appear or testify under oath at any hearing held by the Commission
C. having been convicted of a felony
D. showing a property without first notifying your broker
D. showing a property without first notifying your broker
426
Security deposits received by a property manager must be placed in
Select one:
A. a savings account
B. the operating account
C. the security deposit trust account
D. the rental deposit trust account
C. the security deposit trust account
427
Which of the following can have an escrow account?
Select one:
A. any broker
B. any licensee
C. a sponsoring or qualifying broker
D. a sponsoring broker or an associate broker
C. a sponsoring or qualifying broker
428
A commission can be shared with
Select one:
A. Only Louisiana brokers
B. Louisiana brokers and out of state brokers
C. Only brokers in the same parish
D. Only agents in the same company
B. Louisiana brokers and out of state brokers
429
The main reason for the Real Estate Recovery Fund is to
Select one:
A. pay for claims against licensees
B. pay for legal fees incurred when the Commission is sued
C. provide for education of licensees
D. pay the salaries of Commission employees
A. pay for claims against licensees
430
When advertising on the internet, the broker’s name, city and state must
appear on all EXCEPT:
Select one:
A. bulletin boards
B. e-mails
C. websites
D. None of the above, no sites are exempt from this rule.
D. None of the above, no sites are exempt from this rule.
431
The tear off part of the agency disclosure brochure must be retained for
Select one:
A. one year
B. two years
C. three years
D. five years
D. five years
432
An applicant for a license may not receive full credit for coursework if it was
taken over
Select one:
A. one year ago
B. 3 years ago
C. 4 years ago
D. 5 years ago
D. 5 years ago
433
Which of the following must be reported to the Commission within 10 days?
Select one:
A. licensee’s change of address and/or phone number
B. deposits made to escrow accounts
C. disbursements made from escrow accounts.
D. Licensee’s intention to transfer his license.
A. licensee’s change of address and/or phone number
434
Which of the following statements is INCORRECT?
Select one:
A. Salespersons may share commissions with unlicensed person with the
permission of the sponsoring broker.
B. Commissions earned by a salesperson may be shared with licensed salespersons of another licensed broker without the knowledge of his sponsoring broker.
C. Licensed salespersons may share commissions with unlicensed persons who assist in the sale of real estate.
D. All of the above.
D. All of the above.
435
Does a property manager need a real estate license?
Select one:
A. No
B. Yes
C. Yes, if managing property for more than one owner.
D. Yes, if working for a property management company.
D. Yes, if working for a property management company.
436
How many days after passing the licensing exam does an applicant have in which to submit the affidavit of sponsorship to the Commission?
Select one:
a. 90
b. 60
c. 30
d. 120
a. 90
437
Which of the following statements is TRUE concerning property disclosure?
Select one:
a. Unless exempted therein, the seller of residential real property shall complete a property disclosure document in a form prescribed by the Louisiana Real Estate commission or a form that contains at
least the minimum language prescribed by the commission.
b. The property disclosure form must be in the form designated by the broker.
c. The property disclosure form must be prepared by a Louisiana attorney.
d. Property disclosure is not required by law.
a. Unless exempted therein, the seller of residential real property shall complete a property disclosure document in a form prescribed by the Louisiana Real Estate commission or a form that contains at
least the minimum language prescribed by the commission.
438
When should the dual agency disclosure form be presented and signed?
Select one:
a. At the time the brokerage agreement is entered into or at any time before the licensee acts as a dual agent.
b. When the listing agreement is signed.
c. At the closing.
d. When the property is shown.
a. At the time the brokerage agreement is entered into or at any time before the licensee acts as a dual agent.
439
If an investigation by the Commission indicates that a violation of the License
Law may have occurred, what happens next?
Select one:
A. informal adjudicatory proceedings are initiated.
B. Formal adjudicatory proceedings are initiated.
C. Both A and B
D. Either A or B.
D. Either A or B.
440
Non-resident licensees are bound by the provisions of the Louisiana Real Estate
License Law.
Select one:
True
False
True
441
Any applicant who takes and fails to pass the initial licensing exam must
Select one:
A. apply to the Commission to retake the exam and pay a processing fee.
B. Can not get a real estate license.
C. Can retake the exam the next day.
D. go back to real estate school.
A. apply to the Commission to retake the exam and pay a processing fee.
442
A licensee may not renew his license on active status unless he or she has
completed ____ hours of continuing education during the immediately preceding license period.
Select one:
A. 4
B. 8
C. 10
D. 12
D. 12
443
When a licensed agency is purchased by another licensed agency, the sponsoring broker of the acquiring agency must notify the Commission within
Select one:
A. 2 business days
B. 3 business days
C. 5 business days
D. 7 business days
C. 5 business days
444
Licensees must complete ____ hours of continuing education each year.
Select one:
A. 8
B. 12
C. 16
D. None
B. 12
445
If a licensee has been on inactive status for 1 to 5 years, how many hours of post licensing coursework may be used in lieu of continuing education to activate the license?
Select one:
a. 45 hours
b. 15 hours
c. 25 hours
d. None
a. 45 hours
446
A broker advertising on an internet site or e-mail must include on each page
Select one:
A. the broker's name
B. the city and state in which the broker's office is located
C. Any trade name as registered with the Commission
D. All of the above
D. All of the above
447
Non-resident brokers must maintain escrow accounts in
Select one:
A. Louisiana
B. The state in which they reside
C. both
D. Either
D. Either
448
For which of the following reasons can money in an escrow account be
withdrawn?
Select one:
A. to return the funds to the buyer at the time of closing
B. upon mutual written consent of all parties
C. upon court order
D. all of the above
D. all of the above
449
Disputes over disbursement of escrow funds may be resolved by all of the
following EXCEPT:
Select one:
a. By the Real Estate Commission
b. By reasonable interpretation of the broker holding the funds
c. By mutual agreement of all parties involved
d. By court order
a. By the Real Estate Commission
450
After a hearing, and upon determination that any federal or state law or commission regulation has been or will be violated by any franchiser that is
subject to the rules and regulations, the Real Estate Commission may do which
of the following?
Select one:
a. Withdraw the franchise registration
b. Issue a cease and desist order
c. Either A or B
d. A and/or B
d. A and/or B
451
Ownership of things can be classified as:
Select one:
A. private
B. public
C. common
D. both A and B
D. both A and B
452
Land and buildings are classified as:
Select one:
A. corporeal
B. incorporeal
A. corporeal
453
Only buildings and standing timber may be separate immovables.
Select one:
True
False
True
454
Building materials which are used to build a structure are called:
Select one:
A. component by attachment
B. component by incorporation
C. component by declaration
D. component immovables
B. component by incorporation
455
Buildings and standing timber belonging to someone other than the owner of
the land are:
Select one:
A. component by attachment
B. separate immovables
C. immovables by anticipation
D. incorporeal immovables
B. separate immovables
456
An arpent is a French unit of measure about equal to 5/6 of an acre. It is also
used as a linear measure about equal to 192 feet.
Select one:
True
False
True
457
What is an arpent?
Select one:
A. about 5/6 of an acre.
B. A linear measure about equal to 192 feet.
C. A French unit of measure
D. All of the above.
D. All of the above.
458
A person owning both the rights of usus and fructus is said to own the:
Select one:
A. whole thing
B. abusus
C. usufruct
D. title
C. usufruct
459
The right to the use of a thing is called:
Select one:
A. usus
B. fructus
C. abusus
D. usufruct
A. usus
460
The right to dispose of a thing by selling, giving away, or mortgaging is called:
Select one:
A. usus
B. fructus
C. abusus
D. usufruct
C. abusus
461
A type of servitude which is a charge on a thing in favor of a person is called a:
Select one:
A. personal servitude
B. predial servitude
C. general servitude
D. impersonal servitude
A. personal servitude
462
A personal servitude that confers in favor of another person a specified use of
an estate less than full enjoyment is called:
Select one:
a. Right of use.
b. Fructus.
c. Habitation.
d. License.
a. Right of use.
463
A usufruct that is created by the operation of law is known as:
Select one:
a. A legal usufruct.
b. A conventional usufruct.
c. A non-conventional usufruct.
d. A Causal Usufruct.
a. A legal usufruct.
464
A type of usufruct that is created by an act such as an agreement or by a will is
called a:
Select one:
A. conventional usufruct
B. usufructuary
C. contractual usufruct
A. conventional usufruct
465
When the same person acquires both the dominant and the servient estates, the
predial servitude ceases to exist through __________.
Select one:
a. Confusion.
b. Acquisition.
c. Conjunction.
d. Prescription
a. Confusion.
466
A charge on the servient estate by the dominant estate is called a:
Select one:
A. personal servitude
B. predial servitude
C. confusion
D. prescription
B. predial servitude
467
A property without access to a public road is called a/an:
Select one:
a. Enclosed estate.
b. Servitude.
c. Natural estate.
d. Conventional estate.
a. Enclosed estate.
468
A servitude may be acquired with uninterrupted possession of the right for ___ years without good faith or just title.
Select one:
a. 30
b. 10
c. 15
d. 20
a. 30
469
If a home is sold at sheriff's sale and homestead exemption is claimed which of
the following is TRUE?
Select one:
A. Both spouses must sign.
B. The mortgagor must not have children.
C. The mortgagor must not be married.
D. It is never waived.
A. Both spouses must sign.
470
How are building restrictions enforced?
Select one:
a. A landowner in the subdivision must file suit in court to obtain an injunction.
b. By the police department.
c. By the City Council.
d. By the developer of the subdivision.
a. A landowner in the subdivision must file suit in court to obtain an injunction.
471
When the usufructuary leases, alienates, or encumbers his right, this is called:
Select one:
A. alienation
B. abusus
C. negation
D. disposition
D. disposition
472
The owner of the usufruct is called the:
Select one:
A. naked owner
B. fructus
C. usufructuary
D. life estate owner
C. usufructuary
473
A nontransferable real right of a natural person to dwell in the house of another
is called the right of:
Select one:
a. Habitation.
b. Naked Ownership.
c. Use.
d. Abusus.
a. Habitation.
474
A hunting or fishing license would be an example of what type of personal
servitude?
Select one:
A. habitation
B. usufruct
C. right of use
D. legal usufruct
C. right of use
475
A wall which rests on the property line is called a:
Select one:
A. party wall
B. communal wall
C. natural wall
D. confusion
A. party wall
476
A servitude may be acquired by possession in good faith and just title after a period of ___ years.
Select one:
a. 10
b. 15
c. 20
d. 30
a. 10
477
The estate which benefits from the predial servitude is called the:
Select one:
A. dominant estate
B. servient estate
C. predial estate
D. conventional estate
A. dominant estate
478
A servitude may be acquired by peaceable and uninterrupted possession of the
right for a specific period of time. This is known as:
Select one:
a. Acquisitive prescription.
b. Natural prescription.
c. Conventional prescription.
d. Accusative prescription.
a. Acquisitive prescription.
479
Homestead exemption insures that the homeowner is assured of receiving
______ if his home is sold at the sheriff's sale by an unsecured creditor.
Select one:
A. $7500
B. $35,000
C. $75,000
D. $150,000
B. $35,000
480
How can building restrictions be terminated?
Select one:
a. After the restrictions have been in effect for fifteen (15) years, by the agreement of owners representing more than one-half the land area (excluding streets and rights-of-ways.
b. By the agreement of both (a) owners representing two-thirds (2/3) of the land area, and (b) two-thirds (2/3) of the owners of the land (excluding streets and right-of-ways) affected by the restriction after the restrictions have been in effect for ten (10) years.
c. By abandonment of the whole plan or by the general abandonment of a
particular restriction. If a particular restriction is abandoned, the
affected area is freed of that restriction only.
d. Any of the above.
d. Any of the above.
481
The term Usufruct is somewhat similar to what Common Law estate?
Select one:
a. Life Estate
b. Joint Tenancy
c. Community Property
d. Fee Simple Estate
a. Life Estate
482
The three types of personal servitudes are:
Select one:
A. usufruct, life estate, and disposition
B. usufruct, habitation, and right of use
C. usus, fructus, and abusus
D. predial, habitation, and use
B. usufruct, habitation, and right of use
483
The owner of the usufruct is called the:
Select one:
A. naked owner
B. fructus
C. usufructuary
D. life estate owner
C. usufructuary
484
A usufruct that is created by the operation of law is known as:
Select one:
a. A legal usufruct.
b. A conventional usufruct.
c. A non-conventional usufruct.
d. A Causal Usufruct.
a. A legal usufruct.
485
The natural flow of surface water from one property to another is called a:
Select one:
A. natural servitude
B. legal servitude
C. conventional servitude
D. water servitude
A. natural servitude
486
Conventional servitudes are:
Select one:
a. voluntary.
b. involuntary.
c. obligatory.
d. natural.
a. voluntary.
487
How can a predial servitude be terminated?
Select one:
A. by the dominant estate
B. by the servient estate
C. by confusion
D. both A and C
D. both A and C
488
The first person to build a wall may build half of the wall on a neighbor's land, if
the first story is constructed of masonry not over eighteen inches in width and
three inches of plaster. To become a common wall, the neighboring landowner
must pay one-half (1/2) its current value.
Select one:
True
False
True
489
If a homestead is sold at the sheriff’s sale, the homeowner is assured that his
homestead will sell for more than $35,000.00 and that the owner may retain or receive the first $35,000.00.
Select one:
True
False
True
490
If a home is sold at sheriff's sale and homestead exemption is claimed which of
the following is TRUE?
Select one:
A. Both spouses must sign.
B. The mortgagor must not have children.
C. The mortgagor must not be married.
D. It is never waived.
A. Both spouses must sign.
491
Other than the Louisiana Condominium Act, how is ownership of condominiums
established and determined?
Select one:
a. By the condominium declaration.
b. By the Louisiana Civil Code.
c. By the LREC.
d. By the individual condominium owner's deed.
a. By the condominium declaration.
492
What Louisiana law governs ownership of townhomes?
Select one:
A. Louisiana Townhomes Act
B. Louisiana Townhomes Law
C. Louisiana Condominium Act
D. There is no specific law governing ownership of townhomes in
Louisiana.
D. There is no specific law governing ownership of townhomes in
Louisiana.
493
Property acquired during a marriage, by the marriage is known as:
Select one:
A. community property
B. separate property
C. marital property
D. matrimonial property
A. community property
494
A donation in the chain of title, then, is a potential title problem because of the
possibility of revocation.
Select one:
True
False
True
495
Donation mortis causa is another term for:
Select one:
A. a gift from one person to another
B. a will
C. a testator
D. a testatrix
B. a will
A donation mortis causa is another name for a will. It is an act by which an
individual disposes of his property with the actual donation to take effect upon
the death of the donor. Last Will and testament
496
A type of donation which is to take place at the time of the donor's death is
called:
Select one:
A. donation inter vivos
B. donation mortis
C. donation mortis causa
D. donation in contemplation of death
C. donation mortis causa
497
A type of will which is handwritten by the testator/testatrix is called:
Select one:
A. donation mortis causa
B. olographic
C. notarial
D. statutory
B. olographic
498
The person who has died and left an estate is known as the:
Select one:
a. Decedant
b. Legatee
c. Heir
d. Testate
a. Decedant
499
Intestate successors are known as:
Select one:
a. Heirs
b. Legatees
c. Survivors
d. Donors
a. Heirs
500
A person who inherits something by act of law, with no will is known as
Select one:
A. legatee
B. heir
C. testator
D. testatrix
B. heir
501
The portion of the deceased person’s estate that must go to the forced heirs,
whether or not there is a will is called the:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. both A and B
D. both A and B
502
If there are descendants, the surviving spouse has a legal usufruct over the
community property inherited by the descendants, either for life or until
remarriage.
Select one:
True
False
True
503
The portion of a person’s estate that can be willed to anyone he or she chooses
is called:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. legatee
C. disposable portion
504
If there is no will, the children inherit ____ of the deceased person's estate, and
the spouse retains usufruct.
Select one:
a. the full estate
b. one half of the estate
c. none of the estate
a. the full estate
505
Things which are attached to the land or produced from it which are considered
a component or integral part of the real property, do so by the right of:
Select one:
A. accession
B. succession
C. possession
D. legation
A. accession
506
If a person makes improvements or plantings on a property in good faith, that is believing that he has the right, what will become of the improvements or plantings?
Select one:
A. He is entitled to their current value.
B. They become the property of the owner of the land.
C. He must have them removed
D. He must sue.
A. He is entitled to their current value.
507
The riparian owner on a non-navigable river or stream owns:
Select one:
a. To the middle of the stream bed.
b. To the water's edge.
c. To the point of high tide.
d. To within 20 feet of the edge of the stream.
a. To the middle of the stream bed.
508
The right of the government to take private property for public use with just
compensation is called:
Select one:
A. Eminent domain
B. Expropriation
C. Appropriation
D. Acquisitive prescription
A. Eminent domain
509
A type of expropriation for state highway purposes is a comparatively short,
litigation process and is known as:
Select one:
a. Quick taking
b. Appropriation
c. Adverse prescription
d. Confiscation
a. Quick taking
510
The action of the government of taking private property for public use with
compensation is called:
Select one:
A. eminent domain
B. expropriation
C. appropriation
D. acquisitive prescription
A. eminent domain
511
Excluding a forced heir from a will is called:
Select one:
A. exclusion
B. disinherison
C. disenfranchisement
D. This is always illegal.
B. disinherison
512
The portion of the deceased person’s estate that must go to the forced heirs,
whether or not there is a will is called the:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. both A and B
D. both A and B
513
If there is only one child, what is the forced portion of a person's estate?
Select one:
A. ¼
B. ½
C. ¾
D. all
A. ¼
514
A child is considered a forced heir if at the time of the parent’s death the child is
under the age of:
Select one:
A. 23
B. 24
C. 25
D. there is no age limit
B. 24
515
If mineral rights are retained by contract, they may only be retained for ___ if
there is not activity.
Select one:
a. 10 years
b. 15 years
c. 20 years
d. 30 years
a. 10 years
516
Ownership of a tract of land carries with it ownership of everything directly
above and beneath.
Select one:
True
False
True
517
When the sudden action of water carries away an identifiable piece of ground and unites it with other land on the same or opposite bank, the owner does not lose the property, if he claims it in writing within a year, or if over a year, he may
claim the land if another owner has not taken possession.
Select one:
True
False
True
518
The taking of private property for public use without compensation is called:
Select one:
A. eminent domain
B. expropriation
C. appropriation
D. acquisitive prescription
C. appropriation
519
Exercising the physical acts of use or enjoyment of a property is called:
Select one:
A. corporeal possession
B. incorporeal possession
C. constructive possession
D. acquisitive possession
A. corporeal possession
520
If a person occupies a property for thirty years, knowing that he does not
actually own the land, he may claim ownership under the concept of:
Select one:
A. good faith possession
B. bad faith possession
C. eminent domain
D. accession
B. bad faith possession
521
An obligation in which each party may be held accountable for the whole
obligation is said to be:
Select one:
A. obligatory
B. novation
C. confusion
D. solidary
D. solidary
522
Solidarity must be expressed or must result from law. It cannot be presumed.
Select one:
True
False
True
523
A person for whom an obligation is performed is known as the:
Select one:
A. obligor
B. obligee
B. obligee
524
In an option contract, which party is obligated?
Select one:
a. The offeror or seller
b. The offeree or buyer
c. Neither
d. Both
a. The offeror or seller
525
A contract in which both parties are obligated is called a:
Select one:
A. unilateral contract
B. bilateral contract
C. synallagmatic contract
D. both B and C
D. both B and C
526
A contract in which the seller is obligated to sell if the buyer chooses to buy
within a specified time period, but the buyer is not obligated to buy is a/an:
Select one:
A. option
B. novation
C. synallagmatic contract
D. there is no such thing.
A. option
527
A contract which contains an illegal objective is:
Select one:
A. absolutely null
B. relatively null
C. without cause
D. voidable
A. absolutely null
528
The term “absolutely null” is similar to the Common Law term “void”, and the
term “relatively null” is similar to the Common Law term:
Select one:
a. Voidable
b. Nullity
c. Confusion
d. Extinguished
a. Voidable
529
In Louisiana, if a deposit is not specified as earnest money then it is
Select one:
A. illegal
B. a voidable contract
C. specific performance
D. just a deposit
C. specific performance
530
If all the necessary requirements of a contract are not met, the contract is said
to be:
Select one:
a. Null
b. Void
c. Voidable
d. Extinct
a. Null
531
The substitution of a new obligation for a previous one is called:
Select one:
A. novation
B. confusion
C. solidary
D. substitution
A. novation
532
A person who is obligated by a contract is known as the:
Select one:
A. obligor
B. obligee
A. obligor
533
An obligation is ______ for the obligees when it gives each the right to demand
the whole performance from the obligor.
Select one:
a. Solidary
b. Confused
c. Novated
d. Obligatory
a. Solidary
534
After an offer is made, it is _________ up until the time it is accepted or the time
for acceptance expires.
Select one:
a. Irrevocable
b. Revocable
c. Amendable
d. Withdrawable
a. Irrevocable
535
A contract in which only one party benefits is said to be
Select one:
A. unilateral
B. onerous
C. gratuitous
D. synallagmatic
C. gratuitous
536
Bilateral or synallagmatic contract is one in which both of the parties are
obligated.
Select one:
True
False
True
537
If a seller receives an offer on his property, but changes any of the terms of the contract and sends it back to the buyer for his approval, this is called a
Select one:
A. counteroffer
B. codicil
C. nullity
D. conditional acceptance
A. counteroffer
538
The seller received an offer on his home and sent a counter offer to the buyer.
While the buyer was considering the counter offer, the seller received a higher
offer with better terms. The seller's agent advise him to:
Select one:
a. Accept the better offer
b. Wait until he hears from the first buyer. He can only accept the second offer if the first buyer rejects the counter offer.
c. Reject the second offer
d. Withdraw the counter offer before it is accepted and then accept the second offer.
b. Wait until he hears from the first buyer. He can only accept the second offer if the first buyer rejects the counter offer.
539
The seller receives an offer on his house. He responds with a counter offer. While the buyer is considering the counter offer, the buyer sees a house that he likes better and is in a more favorable location. What should his agent advise him to do?
Select one:
a. The agent should tell the buyer to reject the counter offer before putting in an offer on the better house.
b. The agent should advise him to put an offer in on the house he likes more.
c. The agent should advise him to do nothing until the counter offer expires.
d. The agent should tell him that you cannot have two offers at the same time on two different houses.
b. The agent should advise him to put an offer in on the house he likes more.
540
Specific performance gives either party the right to
Select one:
A. receive damages in the amount of the deposit
B. cancel the sale
C. enforce the terms of the contract
D. none of the above
C. enforce the terms of the contract
541
When the obligor and obligee become one, the obligation is extinguished by:
Select one:
A. novation
B. solidary
C. confusion
D. substitution
C. confusion
542
An agreement by two or more parties whereby obligations are created,
modified, or extinguished is known as a:
Select one:
a. Contract.
b. Deal.
c. Novation.
d. Settlement.
a. Contract.
543
Solidarity must be expressed or must result from law. It cannot be presumed.
Select one:
True
False
True
544
In Louisiana, offers are:
Select one:
A. revocable until the time they are accepted
B. irrevocable until the time of acceptance or expiration of the offer
C. irrevocable only if stated in the contract
D. not enough information
B. irrevocable until the time of acceptance or expiration of the offer
545
Another term for a bilateral contract is:
Select one:
a. Synallagmatic
b. Option
c. Confusion
d. Gratuitous
a. Synallagmatic
546
A contract in which both parties benefit is said to be:
Select one:
A. bilateral
B. onerous
C. gratuitous
D. synallagmatic
D. synallagmatic
547
In Louisiana, consideration is not required for a valid contract, but we do require
Select one:
A. nullity
B. cause
C. specificity
D. conditions
B. cause
548
A counteroffer is the same as:
Select one:
a. A rejection
b. A new offer
c. Both A and B
d. Neither A nor B
c. Both A and B
549
When a buyer makes an offer to purchase and the seller accepts, when does the
buyer become obligated?
Select one:
A. when he signs the offer
B. when he tells his agent that he will accept the offer
C. when the buyer is notified that the seller has accepted the offer
D. at the closing
C. when the buyer is notified that the seller has accepted the offer
550
A contract which is flawed but not illegal and may still be carried out is said to be
Select one:
A. absolutely null
B. relatively null
C. without cause
D. void
B. relatively null
551
Louisiana does not use deeds. The instrument used to transfer title is most
commonly called a:
Select one:
A. purchase agreement
B. conveyance
C. title
D. mortgage
B. conveyance
552
Under Louisiana Civil Law verbal contracts are binding, however Louisiana
License Law states that sales contracts:
Select one:
A. must be notarized
B. must be in writing
C. must be witnessed
D. must be authenticated
B. must be in writing
553
To perfect a sale in Louisiana there are three requirements. They are (1) the
thing sold, (2) the price, and:
Select one:
a. Consent of the parties.
b. The deed.
c. An oath of conveyance.
d. A power of attorney.
a. Consent of the parties.
554
A seller may reserve the right to redeem the immovable property by returning
the price. This right may not be reserved for more than __ year(s).
Select one:
a. 10
b. 1
c. 3
d. 15
a. 10
555
The agency relationship between a broker and the person for whom he is
working is not determined by the payment of or promise to pay compensation.
Select one:
True
False
True
556
When may a mechanic's lien be filed?
Select one:
a. Within 60 days after the last work done on the project.
b. Within 1 year after the work was done.
c. Within 90 days after the last work done on the project.
d. Within 30 days after the work was completed.
a. Within 60 days after the last work done on the project.
557
A type of lien which can be filed by workmen or laborers if filed within 60 days of the date of last work done is a:
Select one:
A. materialman's lien
B. mechanic's lien
C. workman's lien
D. all of the above
D. all of the above
558
If a buyer limits his personal liability with regard to a mortgage, then his liability
is said to be:
Select one:
A. in rem
B. conditional
C. partial
D. incomplete
A. in rem
559
A judgment is an example of what type of mortgage?
Select one:
A. conventional
B. legal
C. judicial
D. vendor
C. judicial
560
A mortgage which is stipulated by law is called a:
Select one:
A. conventional mortgage
B. legal mortgage
C. judicial mortgage
D. bond for deed
B. legal mortgage (tacit)
561
The Louisiana term for Deed in Lieu of Foreclosure is:
Select one:
a. Dation en paiment
b. Ordinary process
c. Executory process
d. Confession of judgment
a. Dation en paiment
562
What is the penalty for violation of the usury law?
Select one:
A. forfeiture of the excess interest charge
B. forfeiture of the entire interest
C. forfeiture of the entire debt
D. forfeiture of the entire debt and interest
B. forfeiture of the entire interest
563
What is the usury ceiling for owner finance loans?
Select one:
A. 7%
B. 12%
C. 14%
D. 17%
D. 17%
564
The period for redeeming property which has been sold at the tax sale for
nonpayment of taxes is:
Select one:
A. 2 years
B. 3 years
C. 5 years
D. 3 to 5 years
B. 3 years
565
In Louisiana, residential property is assessed at ___% for tax purposes.
Select one:
a. 10
b. 15
c. 20
d. 25
a. 10
566
If a leased property is sold during the term of the lease, does the new owner
have to honor the lease?
Select one:
A. yes
B. no
C. yes, if the lease was recorded
D. only if provided for in the lease
C. yes, if the lease was recorded
567
If a lessee continues to occupy the property after the expiration of the term of the lease, the lease is automatically reconducted for:
Select one:
A. on a month to month basis
B. on a year to year basis
C. on a monthly basis for non-farm leases, and for another year for farm leases
D. There is no reconduction.
C. on a monthly basis for non-farm leases, and for another year for farm leases
568
What kinds of leases does Louisiana have?
Select one:
A. farm lease
B. lease for rent or non-farm lease
C. both A and B
D. none of the above
C. both A and B
569
The landlord is called the _______ and the tenant is called the _________.
Select one:
A. lessor, lessee
B. lessee, lessor
C. owner, tenant
D. seller, buyer
A. lessor, lessee
570
The lessor is required to return the security deposit, less any damages other
than normal wear and tear, within:
Select one:
A. 1 week
B. 1 month
C. 2 months
D. 6 months
B. 1 month
571
Who are considered “forced heirs” in Louisiana?
Select one:
A. the decedant's wife
B. the decedant's parents
C. the decedant's children
D. the decedant's siblings
C. the decedant's children
572
When a husband dies leaving a wife and children, what right does the wife have
in the husband's portion of the community property?
Select one:
A. abusus
B. joint tenancy
C. naked ownership
D. usufruct
D. usufruct
573
The amount of exemption from "general creditors" in the forced sale of real
estate is:
Select one:
A. $1500
B. $7,500
C. $5,000
D. $35,000
D. $35,000
574
The time period in which to file for redhibition or lesion beyond moiety is usually
Select one:
A. 6 months
B. 1 year
C. 3 years
D. 4 years
B. 1 year
575
Mr. Smith sold a right of way to Illinois Central to build a railroad across his
property. This is known as a
Select one:
A. predial servitude
B. personal servitude
C. license
D. right of passage
B. personal servitude
576
If a man dies testate leaving a wife and one child, what is the disposable portion
of his estate?
Select one:
A. One half
B. All
C. Three fourths
D. One fourth
C. Three fourths
577
In Louisiana, a valid contract must contain all of the following EXCEPT
Select one:
A. cause
B. legal description
C. signature of grantor
D. consideration
D. consideration
578
Bond for Deed is used in the sale of
Select one:
A. movables and immovables
B. chattel
C. movables
D. immovables
D. immovables
579
What type of lien would take priority over a first mortgage?
Select one:
A. tax lien
B. both
C. mechanic
D. neither
B. both
580
Which of the following statements is true concerning subagency in Louisiana?
Select one:
A. It can be created by written agreement.
B. It is illegal.
C. The salesperson is the subagent of the broker.
D. The salesperson is the subagent of the seller.
A. It can be created by written agreement.
581
A shared driveway with one property in front and one behind it would most likely
be a
Select one:
A. party servitude
B. personal servitude
C. predial servitude
D. community property
C. predial servitude
582
An arpent is
Select one:
A. about 5/6 of an acre
B. about equal to a section
C. about equal to a township
D. about one mile
A. about 5/6 of an acre
583
If a man dies intestate and with no heirs, what happens to his estate?
Select one:
A. It will be sold to the highest bidder.
B. It will go to his legatees.
C. It will be donated to charity.
D. It will escheat to the state.
D. It will escheat to the state.
584
All of the following would be considered "public things" EXCEPT:
Select one:
a. Streets
b. Sewers
c. Homes
d. Parks
c. Homes
585
Corporeal things can be seen felt or touched.
Select one:
True
False
True
586
Which of the following is TRUE of corporeal things?
Select one:
a. The term refers to persons only.
b. They must be animate.
c. They may be animate or inanimate.
d. They must be inanimate.
c. They may be animate or inanimate.
587
A person who is named inherits something by act of law, with no will is known as:
Select one:
A. testatrix
B. heir
C. testator
D. legatee
B. heir
588
The transfer of property when there is no will is called:
Select one:
A. intestate succession
B. probation
C. donation
D. testate succession
A. intestate succession
589
Intestate successors are known as:
Select one:
a. Donors
b. Survivors
c. Legatees
d. Heirs
d. Heirs
590
There are two types of successors. They are:
Select one:
a. Heirs and Devises
b. Devise and Devisee
c. Legatees and Heirs
d. Testate and Intestate
c. Legatees and Heirs
591
Excluding a forced heir from a will is called:
Select one:
A. exclusion
B. disinherison
C. disenfranchisement
D. This is always illegal.
B. disinherison
592
If there is no will, the children inherit ____ of the deceased person's estate, and
the spouse retains usufruct.
Select one:
a. the full estate
b. none of the estate
c. one half of the estate
a. the full estate
593
A child is considered a forced heir if at the time of the parent’s death the child is
under the age of:
Select one:
A. 23
B. 24
C. 25
D. there is no age limit
B. 24
594
The portion of the deceased person’s estate that must go to the forced heirs,
whether or not there is a will is called the:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. both A and B
D. both A and B
595
The portion of a person’s estate that can be willed to anyone he or she chooses
is called:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. legatee
C. disposable portion
596
Mineral rights do not transfer with the land unless stated in the contract. TRUE
or FALSE?
Select one:
A. True
B. False
False
597
If mineral rights are retained by contract, they may only be retained for ___ if
there is not activity.
Select one:
a. 10 years
b. 30 years
c. 20 years
d. 15 years
a. 10 years
598
Land that is exposed by receding water along a river or stream is called:
Select one:
A. alluvion
B. dereliction
C. avulsion
D. riparian
B. dereliction
599
The riparian owner on a non-navigable river or stream owns:
Select one:
a. To the middle of the stream bed.
b. To the point of high tide.
c. To the water's edge.
d. To within 20 feet of the edge of the stream.
a. To the middle of the stream bed.
600
The natural build up of soil along a river bank or stream is called:
Select one:
A. avulsion
B. riparian
C. dereliction
D. alluvion
D. alluvion
601
A type of expropriation for state highway purposes is a comparatively short,
litigation process and is known as:
Select one:
a. Quick taking
b. Appropriation
c. Confiscation
d. Adverse prescription
a. Quick taking
602
If a person occupies a property for thirty years, knowing that he does not actually own the land, he may claim ownership under the concept of:
Select one:
A. accession
B. bad faith possession
C. good faith possession
D. eminent domain
B. bad faith possession
603
The right of the government to take private property for public use with just
compensation is called:
Select one:
A. Expropriation
B. Eminent domain
C. Acquisitive prescription
D. Appropriation
B. Eminent domain
604
When the obligor and obligee become one, the obligation is extinguished by:
Select one:
A. novation
B. solidary
C. confusion
D. substitution
C. confusion
605
A person who is obligated by a contract is known as the:
Select one:
A. obligor
B. obligee
A. obligor
606
An agreement by two or more parties whereby obligations are created, modified, or extinguished is known as a:
Select one:
a. Settlement.
b. Deal.
c. Novation.
d. Contract.
d. Contract.
607
A contract in which the seller is obligated to sell if the buyer chooses to buy
within a specified time period, but the buyer is not obligated to buy is a/an:
Select one:
A. option
B. novation
C. there is no such thing.
D. synallagmatic contract
A. option
608
A contract in which both parties are obligated is called a:
Select one:
A. unilateral contract
B. bilateral contract
C. synallagmatic contract
D. both B and C.
D. both B and C.
609
A contract in which only one party benefits is said to be
Select one:
A. synallagmatic
B. gratuitous
C. onerous
D. unilateral
B. gratuitous
610
A contract which contains an illegal objective is:
Select one:
A. without cause
B. relatively null
C. absolutely null
D. voidable
C. absolutely null
611
When a buyer makes an offer to purchase and the seller accepts, when does the
buyer become obligated?
Select one:
A. when he signs the offer
B. when he tells his agent that he will accept the offer
C. when the buyer is notified that the seller has accepted the offer
D. at the closing
C. when the buyer is notified that the seller has accepted the offer
612
The seller received an offer on his home and sent a counter offer to the buyer.
While the buyer was considering the counter offer, the seller received a higher
offer with better terms. The seller's agent advise him to:
Select one:
a. Withdraw the counter offer before it is accepted and then accept the second offer.
b. Accept the better offer
c. Wait until he hears from the first buyer. He can only accept the second offer if the first buyer rejects the counter offer.
d. Reject the second offer
c. Wait until he hears from the first buyer. He can only accept the second offer if the first buyer rejects the counter offer.
613
If a seller receives an offer on his property, but changes any of the terms of the contract and sends it back to the buyer for his approval, this is called a
Select one:
A. conditional acceptance
B. codicil
C. counteroffer
D. nullity
C. counteroffer
614
Under Louisiana Civil Law verbal contracts are binding, however Louisiana
License Law states that sales contracts:
Select one:
A. must be authenticated
B. must be witnessed
C. must be in writing
D. must be notarized
C. must be in writing
615
A seller may reserve the right to redeem the immovable property by returning
the price. This right may not be reserved for more than __ year(s).
Select one:
a. 10
b. 1
c. 3
d. 15
a. 10
616
The period to file for lesion is:
Select one:
A. 90 days
B. 180 days
C. 1 year
D. 4 years
C. 1 year
617
A sale may be rescinded for a material defect that was not known to the buyer
under:
Select one:
A. lesion beyond moiety
B. quitclaim
C. dissolution of sale
D. redhibition
D. redhibition
618
Another term for power of attorney is:
Select one:
a. Novation
b. Mandate
c. Listing agreement
d. Continuing power
b. Mandate
619
How is a power of attorney terminated?
Select one:
a. When it is revoked.
b. When the principal or agent dies.
c. When the agent resigns or renounces.
d. Any of the above
d. Any of the above
620
Unharvested fruits and crops belonging to someone other than the owner of the
land are:
Select one:
A. components by attachment
B. incorporeal movables
C. separate immovables
D. movables by anticipation
D. movables by anticipation
621
Building materials which are used to build a structure are called:
Select one:
A. component by incorporation
B. component immovables
C. component by attachment
D. component by declaration
A. component by incorporation
622
Only buildings and standing timber may be separate immovables.
Select one:
True
False
True
623
The word "lien" is used interchangeably with the word _______.
Select one:
a. Privilege
b. Vendor
c. Right
d. Mortgage
a. Privilege
624
When may a mechanic's lien be filed?
Select one:
a. Within 60 days after the last work done on the project.
b. Within 30 days after the work was completed.
c. Within 90 days after the last work done on the project.
d. Within 1 year after the work was done.
a. Within 60 days after the last work done on the project.
625
A mortgage which is stipulated by law is called a:
Select one:
A. judicial mortgage
B. conventional mortgage
C. legal mortgage
D. bond for deed
C. legal mortgage
626
A judgment is an example of what type of mortgage?
Select one:
A. conventional
B. judicial
C. legal
D. vendor
B. judicial
627
To pledge as collateral while retaining the thing pledged means to:
Select one:
a. Apothcate
b. Lien
c. Hypothecate
d. Promise
c. Hypothecate
628
The Louisiana term for Deed in Lieu of Foreclosure is:
Select one:
a. Dation en paiment
b. Executory process
c. Confession of judgment
d. Ordinary process
a. Dation en paiment
629
Unless otherwise agreed by the parties, a right of first refusal must be exercised
within___ days and may not be granted for more than ___ years.
Select one:
a. 90, 30
b. 45, 15
c. 30, 10
d. 60, 20
c. 30, 10
630
Property taxes are delinquent if not paid by:
Select one:
a. December 31st
b. December 1st
c. January 15th
d. March 31st
a. December 31st
631
Property taxes are paid to:
Select one:
A. municipalities
B. parishes
C. the state
D. both A and B
D. both A and B
632
If a leased property is sold during the term of the lease, does the new owner have to honor the lease?
Select one:
A. only if provided for in the lease
B. yes, if the lease was recorded
C. no
D. yes
B. yes, if the lease was recorded
633
If there is no time period specified in the lease, then the lease is assumed to be:
Select one:
A. year to year
B. month to month
C. none of the above
D. day to day
B. month to month
634
Louisiana Civil Law does not recognize the Common Law concept of:
Select one:
a. Non-freehold estates
b. Eviction
c. Leases
d. Lessor/Lessee
a. Non-freehold estates
635
If a lessee continues to occupy the property after the expiration of the term of the lease, the lease is automatically reconducted for:
Select one:
A. There is no reconduction.
B. on a monthly basis for non-farm leases, and for another year for farm leases
C. on a month to month basis
D. on a year to year basis
B. on a monthly basis for non-farm leases, and for another year for farm leases
636
Louisiana has how many meridians and baselines?
Select one:
A. one meridian and one baseline
B. two meridians and two baselines
C. one baseline and two meridians
D. one meridian and two baselines
C. one baseline and two meridians
637
The names of the two meridians in Louisiana are:
Select one:
A. Eastern and Central
B. They do not have names.
C. St. Feliciana and Louisiana
D. St. Helena and Louisiana
D. St. Helena and Louisiana
638
The right to dispose of a thing by selling, giving away, or mortgaging is called:
Select one:
A. abusus
B. fructus
C. usufruct
D. usus
A. abusus
639
A person who owns only the right of abusus is called a:
Select one:
A. usufructuary
B. negligible owner
C. abused person
D. naked owner
D. naked owner
640
A nontransferable real right of a natural person to dwell in the house of another
is called the right of:
Select one:
a. Abusus.
b. Habitation.
c. Use.
d. Naked Ownership.
b. Habitation.
641
The three types of personal servitudes:
Select one:
A. usufruct, life estate, and disposition
B. predial, habitation, and use
C. usufruct, habitation, and right of use
D. usus, fructus, and abusus
C. usufruct, habitation, and right of use
642
A type of usufruct that is created by an act such as an agreement or by a will is
called a:
Select one:
A. usufructuary
B. contractual usufruct
C. conventional usufruct
C. conventional usufruct
643
The owner of the usufruct is called the:
Select one:
A. fructus
B. naked owner
C. usufructuary
D. life estate owner
C. usufructuary
644
A property without access to a public road is called a/an:
Select one:
a. Servitude.
b. Conventional estate.
c. Natural estate.
d. Enclosed estate.
d. Enclosed estate.
645
How can a predial servitude be terminated?
Select one:
A. by the dominant estate
B. by the servient estate
C. by confusion
D. both A and C
D. both A and C
646
A servitude may be acquired by peaceable and uninterrupted possession of the
right for a specific period of time. This is known as:
Select one:
a. Acquisitive prescription.
b. Natural prescription.
c. Accusative prescription.
d. Conventional prescription.
a. Acquisitive prescription.
647
A wall which rests on the property line is called a:
Select one:
A. natural wall
B. confusion
C. communal wall
D. party wall
D. party wall
648
If a homestead is sold at the sheriff’s sale, the homeowner is assured that his
homestead will sell for more than $35,000.00 and that the owner may retain or receive the first $35,000.00.
Select one:
True
False
True
649
Homestead exemption insures that the homeowner is assured of receiving
______ if his home is sold at the sheriff's sale by an unsecured creditor.
Select one:
A. $7500
B. $35,000
C. $75,000
D. $150,000
B. $35,000
650
Louisiana has no specific law on townhouses. It is widely understood that the owner of a unit in a townhouse project owns the land under the structure, while
in a condominium the land is a common element and the owner only owns an
undivided interest, however, this is not the law in Louisiana.
Select one:
True
False
True
651
Selling your property for less than 1/2 of the fair market value could result in the
sale being rescinded under:
Select one:
A. confusion.
B. forced heirship.
C. redhibition.
D. lesion beyond moiety.
D. lesion beyond moiety.
652
How many days notice must be given to terminate a lease?
Select one:
A. 3
B. 10
C. 7
D. 5
B. 10
653
A person who inherits something from a person who died intestate is called a/an
Select one:
A. heir
B. successor
C. legatee
D. beneficiary
A. heir
654
Which of the following statements is true concerning subagency in Louisiana?
Select one:
A. It can be created by written agreement.
B. It is illegal.
C. The salesperson is the subagent of the broker.
D. The salesperson is the subagent of the seller.
A. It can be created by written agreement.
655
Who are considered “forced heirs” in Louisiana?
Select one:
A. the decedant's wife
B. the decedant's children
C. the decedant's siblings
D. the decedant's parents
B. the decedant's children
656
The right to take private property for public use is known as
Select one:
A. expropriation
B. condemnation
C. public donation
D. eminant domain
D. eminant domain
657
A donation made during the lifetime of the donor is known as a
Select one:
A. donation inter vivos
B. benefit
C. donation mortis cause
D. onerous donation
A. donation inter vivos
658
Bond for Deed is used in the sale of
Select one:
A. movables
B. immovables
C. movables and immovables
D. chatte
B. immovables
659
When a husband dies leaving a wife and children, what right does the wife have
in the husband's portion of the community property?
Select one:
A. joint tenancy
B. naked ownership
C. abusus
D. usufruct
D. usufruct
660
In Louisiana, a bilateral contract is known as
Select one:
A. non-transferable
B. co-ownership
C. co-lateral
D. synallagmatic
D. synallagmatic
661
In Louisiana, a valid contract must contain all of the following EXCEPT
Select one:
A. legal description
B. signature of grantor
C. cause
D. consideration
D. consideration
662
The person who holds the right of abusus is called the
Select one:
A. usufructuary
B. wife
C. naked owner
D. testatrix
C. naked owner
663
If a man dies testate leaving a wife and one child, what is the disposable portion
of his estate?
Select one:
A. All
B. Three fourths
C. One half
D. One fourth
B. Three fourths
664
Which of the following could be an example of a private thing that is subject to public use?
Select one:
a. A park.
b. A sidewalk.
c. Streets.
d. A highway.
b. A sidewalk.
665
Corporeal things can be seen felt or touched.
Select one:
True
False
True
666
Land and buildings are classified as:
Select one:
A. incorporeal
B. corporeal
B. corporeal
667
Intestate successors are known as:
Select one:
a. Donors
b. Survivors
c. Heirs
d. Legatees
c. Heirs
668
A person who is named in a will to inherit something is known as a:
Select one:
A. testatrix
B. legatee
C. heir
D. testator
B. legatee
669
The transfer of property when there is no will is called:
Select one:
A. intestate succession
B. testate succession
C. probation
D. donation
A. intestate succession
670
The transfer of property when there is a will is called:
Select one:
A. testate succession
B. probation
C. donation
D. intestate succession
A. testate succession
671
If there is no will, the children inherit ____ of the deceased person's estate, and
the spouse retains usufruct.
Select one:
a. one half of the estate
b. none of the estate
c. the full estate
c. the full estate
672
If there is only one child, what is the forced portion of a person's estate?
Select one:
A. ¼
B. ½
C. ¾
D. all
A. ¼
673
The portion of the deceased person’s estate that must go to the forced heirs,
whether or not there is a will is called the:
Select one:
A. forced portion
B. legitime
C. disposable portion
D. both A and B
D. both A and B
674
If there are descendants, the surviving spouse has a legal usufruct over the
community property inherited by the descendants, either for life or until
remarriage. TRUE or FALSE?
Select one:
A. True
B. False
True
675
Excluding a forced heir from a will is called:
Select one:
A. exclusion
B. disinherison
C. disenfranchisement
D. This is always illegal.
Excluding a forced heir from a will is called:
Select one:
A. exclusion
B. disinherison
C. disenfranchisement
D. This is always illegal.
676
Ownership of a tract of land carries with it ownership of everything directly above and beneath.
Select one:
True
False
True
677
If mineral rights are retained by contract, they may only be retained for ___ if
there is not activity.
Select one:
a. 10 years
b. 20 years
c. 30 years
d. 15 years
a. 10 years
678
Islands and sandbars that are not attached to the bank, formed in the beds of navigable rivers or streams belong to:
Select one:
a. The parish
b. The state
c. The owner of the land on the nearest bank.
d. The Federal Government
b. The state
679
The natural build up of soil along a river bank or stream is called:
Select one:
A. alluvion
B. avulsion
C. riparian
D. dereliction
A. alluvion
680
The riparian owner on a non-navigable river or stream owns:
Select one:
a. To within 20 feet of the edge of the stream.
b. To the water's edge.
c. To the point of high tide.
d. To the middle of the stream bed.
d. To the middle of the stream bed.
681
A type of expropriation for state highway purposes is a comparatively short,
litigation process and is known as:
Select one:
a. Quick taking
b. Confiscation
c. Appropriation
d. Adverse prescription
a. Quick taking
682
If a person occupies a property for thirty years, knowing that he does not
actually own the land, he may claim ownership under the concept of:
Select one:
A. eminent domain
B. bad faith possession
C. good faith possession
D. accession
B. bad faith possession
683
The taking of private property for public use without compensation is called:
Select one:
A. appropriation
B. acquisitive prescription
C. expropriation
D. eminent domain
A. appropriation
684
A person for whom an obligation is performed is known as the:
Select one:
A. obligor
B. obligee
B. obligee
685
An obligation in which each party may be held accountable for the whole
obligation is said to be:
Select one:
A. obligatory
B. novation
C. confusion
D. solidary
D. solidary
686
The substitution of a new obligation for a previous one is called:
Select one:
A. novation
B. solidary
C. substitution
D. confusion
A. novation
687
After an offer is made, it is _________ up until the time it is accepted or the time
for acceptance expires.
Select one:
a. Revocable
b. Irrevocable
c. Withdrawable
d. Amendable
b. Irrevocable
688
A contract in which both parties benefit is said to be:
Select one:
A. bilateral
B. onerous
C. gratuitous
D. synallagmatic
D. synallagmatic
689
A contract in which both parties are obligated is called a:
Select one:
A. unilateral contract
B. bilateral contract
C. synallagmatic contract
D. both B and C
D. both B and C
690
If a seller receives an offer on his property, but changes any of the terms of the contract and sends it back to the buyer for his approval, this is called a
Select one:
A. conditional acceptance
B. nullity
C. codicil
D. counteroffer
D. counteroffer
691
Specific performance gives either party the right to
Select one:
A. receive damages in the amount of the deposit
B. cancel the sale
C. enforce the terms of the contract
D. none of the above
C. enforce the terms of the contract
692
A contract which is flawed but not illegal and may still be carried out is said to be
Select one:
A. without cause
B. void
C. relatively null
D. absolutely null
C. relatively null
693
The seller receives an offer on his house. He responds with a counter offer. While the buyer is considering the counter offer, the buyer sees a house that he likes better and is in a more favorable location. What should his agent advise him to do?
Select one:
a. The agent should tell the buyer to reject the counter offer before putting in an offer on the better house.
b. The agent should advise him to put an offer in on the house he likes more.
c. The agent should advise him to do nothing until the counter offer expires.
d. The agent should tell him that you cannot have two offers at the same
time on two different houses.
b. The agent should advise him to put an offer in on the house he likes more.
694
The avoidance of a sale on account of some defect in the thing sold, which
renders it either absolutely useless, or its use so inconvenient and imperfect,
that it must be supposed that the buyer would not have purchased it had he
known of the defect, is known as:
Select one:
a. fraud
b. lesion
c. rescission
d. redhibition
d. redhibition
695
An act under private signature is one signed by:
Select one:
a. The licensee and the seller.
b. A notary.
c. An attorney.
d. The parties.
d. The parties.
696
Under Louisiana Civil Law verbal contracts are binding, however Louisiana
License Law states that sales contracts:
Select one:
A. must be notarized
B. must be witnessed
C. must be authenticated
D. must be in writing
D. must be in writing
697
An act which is signed, witnessed, and notarized is a/an:
Select one:
A. authentic act
B. act under private signature
A. authentic act
698
A listing agreement essentially gives the real estate agent a power of attorney.
Select one:
True
False
False
699
Another term for power of attorney is:
Select one:
a. Listing agreement
b. Mandate
c. Continuing power
d. Novation
b. Mandate
700
Land, buildings, timber and sometimes crops are considered real property and
are called:
Select one:
A. component by attachment
B. immovables
C. component by incorporation
D. movables
B. immovables
701
Only buildings and standing timber may be separate immovables.
Select one:
True
False
True
702
Things that are permanently attached to a building or other construction so that they cannot be removed without substantial damage to themselves or damage to the immovable to which they are attached are known as:
Select one:
a. Immovable by attachment.
b. Corporeal attachment.
c. Incorporeal attachment.
d. Component by attachment.
d. Component by attachment.
703
When may a mechanic's lien be filed?
Select one:
a. Within 60 days after the last work done on the project.
b. Within 1 year after the work was done.
c. Within 90 days after the last work done on the project.
d. Within 30 days after the work was completed.
a. Within 60 days after the last work done on the project.
704
A type of owner financing in which the seller may place a lien in the amount of
the outstanding debt against the property financed is a:
Select one:
A. paraph
B. conventional mortgage
C. bond for deed
D. vendor's lien
D. vendor's lien
705
Generally, mortgages and liens have priority according to which was recorded
first. However, liens which have priority over mortgages regardless of the date
recorded are:
Select one:
A. mechanic's liens
B. Neither
C. tax liens
D. Both
D. Both
706
A _______ may be ordered to determine the existence of any liens or
encumbrances both before and after acquisition on an immovable by a buyer.
Select one:
a. Mortgage certificate
b. Priority of liens
c. Recordation of mortgage
d. Judicial review
a. Mortgage certificate
707
The Louisiana term for Deed in Lieu of Foreclosure is:
Select one:
a. Executory process
b. Ordinary process
c. Confession of judgment
d. Dation en paiment
d. Dation en paiment
708
Another term for Bond for Deed is:
Select one:
a. Contract for deed
b. Installment sale
c. Land contract
d. All of the above
d. All of the above
709
Another name for Deed in Lieu of Foreclosure is:
Select one:
a. Hypothecation
b. Bond for Deed
c. Friendly foreclosure
d. Executory process
c. Friendly foreclosure
710
In Louisiana, residential property is assessed at ___% for tax purposes.
Select one:
a. 15
b. 20
c. 25
d. 10
d. 10
711
The period for redeeming property which has been sold at the tax sale for
nonpayment of taxes is:
Select one:
A. 2 years
B. 3 years
C. 3 to 5 years
D. 5 years
C. 3 to 5 years
712
What kinds of leases does Louisiana have?
Select one:
A. farm lease
B. lease for rent or non-farm lease
C. both A and B
D. none of the above
C. both A and B
713
The lessor is required to return the security deposit, less any damages other
than normal wear and tear, within:
Select one:
A. 1 month
B. 6 months
C. 2 months
D. 1 week
A. 1 month
714
If a lessee continues to occupy the property after the expiration of the term of the lease, the lease is automatically reconducted for:
Select one:
A. There is no reconduction.
B. on a month to month basis
C. on a year to year basis
D. on a monthly basis for non-farm leases, and for another year for farm leases
D. on a monthly basis for non-farm leases, and for another year for farm leases
715
How many days notice must be given to evict?
Select one:
A. 10 days
B. 5 days
C. 7 days
D. 3 days
A. 10 days
716
An arpent is a French unit of measure about equal to 5/6 of an acre. It is also
used as a linear measure about equal to 192 feet.
Select one:
True
False
True
717
What is an arpent?
Select one:
A. about 5/6 of an acre.
B. A linear measure about equal to 192 ft.
C. A French unit of measure
D. All of the above
D. All of the above
718
The right to the use of a thing is called:
Select one:
A. usufruct
B. fructus
C. abusus
D. usus
D. usus
719
A person who owns only the right of abusus is called a:
Select one:
A. abused person
B. naked owner
C. usufructuary
D. negligible owner
B. naked owner
720
A personal servitude that confers in favor of another person a specified use of
an estate less than full enjoyment is called:
Select one:
a. Right of use.
b. Habitation.
c. License.
d. Fructus.
a. Right of use.
721
The term Usufruct is somewhat similar to what Common Law estate?
Select one:
a. Fee Simple Estate
b. Joint Tenancy
c. Community Property
d. Life Estate
d. Life Estate
722
The owner of the usufruct is called the:
Select one:
A. life estate owner
B. naked owner
C. usufructuary
D. fructus
C. usufructuary
723
A usufruct that is created by the operation of law is known as:
Select one:
a. A Causal Usufruct.
b. A legal usufruct.
c. A non-conventional usufruct.
d. A conventional usufruct.
b. A legal usufruct.
724
A servitude may be acquired by peaceable and uninterrupted possession of the
right for a specific period of time. This is known as:
Select one:
a. Accusative prescription.
b. Conventional prescription.
c. Acquisitive prescription.
d. Natural prescription.
c. Acquisitive prescription.
725
When the same person acquires both the dominant and the servient estates, the
predial servitude ceases to exist through __________.
Select one:
a. Conjunction.
b. Prescription.
c. Confusion.
d. Acquisition.
c. Confusion.
726
The estate which benefits from the predial servitude is called the:
Select one:
A. dominant estate
B. servient estate
C. predial estate
D. conventional estate
A. dominant estate
727
A property without access to a public road is called a/an:
Select one:
a. Conventional estate.
b. Natural estate.
c. Servitude.
d. Enclosed estate
d. Enclosed estate
728
Homestead exemption insures that the homeowner is assured of receiving
______ if his home is sold at the sheriff's sale by an unsecured creditor.
Select one:
A. $7500
B. $35,000
C. $75,000
D. $150,000
B. $35,000
729
If a home is sold at sheriff's sale and homestead exemption is claimed which of
the following is TRUE?
Select one:
A. Both spouses must sign.
B. The mortgagor must not have children.
C. The mortgagor must not be married.
D. It is never waived.
A. Both spouses must sign.
730
The Louisiana term for a limited partnership is:
Select one:
A. partnership in commendam
B. co-ownership
C. partnership
D. limited law corporation
A. partnership in commendam
731
The fruits of separate property, unless specifically reserved as otherwise, are:
Select one:
A. separate property
B. marital property
C. separate revenues
D. community property
D. community property
732
For what reasons may a donor revoke a donation?
Select one:
a. Ingratitude
b. Non-fulfillment of conditions
c. Conventional return
d. All of the above
d. All of the above
733
A type of will which is handwritten by the testator/testatrix is called:
Select one:
A. statutory
B. donation mortis causa
C. notarial
D. olographic
D. olographic
734
Donation mortis causa is another term for:
Select one:
A. a testator
B. a testatrix
C. a gift from one person to another
D. a will
D. a will
735
A donation made between living people is called a:
Select one:
A. donation inter vivos
B. testator
C. last will and testament
D. donation mortis causa
A. donation inter vivos
736
A right which grants one landowner access across another's is called:
Select one:
A. personal servitude
B. predial servitude
C. easement in gross
D. easement appurtenant
B. predial servitude
737
Acquiring property through possession over a period of 10 or 30 years is known
as
Select one:
A. acquisitive prescription
B. adverse possession
C. condemnation
D. dation en paiement
A. acquisitive prescription
738
The renting of predial and country estates is known as a
Select one:
A. farm lease
B. non-farm lease
C. country lease
D. rural lease
A. farm lease
739
If a man dies intestate leaving a son and a daughter, what would his forced
portion be?
Select one:
A. one fourth
B. one half
C. three fourths
D. all of his estate
B. one half
740
Mr. Smith sold a right of way to Illinois Central to build a railroad across his
property. This is known as a
Select one:
A. personal servitude
B. predial servitude
C. license
D. right of passage
B. predial servitude
741
The amount of exemption from "general creditors" in the forced sale of real
estate is:
Select one:
A. $1500
B. $5,000
C. $7,500
D. $35,000
D. $35,000
742
In Louisiana, a bilateral contract is known as
Select one:
A. co-lateral
B. co-ownership
C. synallagmatic
D. non-transferable
C. synallagmatic
743
A shared driveway with one property in front and one behind it would most likely
be a
Select one:
A. personal servitude
B. predial servitude
C. party servitude
D. community property
B. predial servitude
744
Ownership along navigable waterways is
Select one:
A. 15 feet from the bank
B. to the middle of the waterway
C. to the banks of the waterway
D. negotiable
C. to the banks of the waterway
745
If a man dies testate leaving a wife and one child, what is the disposable portion
of his estate?
Select one:
A. One fourth
B. One half
C. Three fourths
D. All
C. Three fourths
746
A person who inherits something through a testament is known as a/an
Select one:
A. heir
B. legatee
C. abusus
D. testator
B. legatee
747
Who are considered “forced heirs” in Louisiana?
Select one:
A. the decedant's children
B. the decedant's wife
C. the decedant's parents
D. the decedant's siblings
A. the decedant's children
748
Ownership of land along the seashore is
Select one:
A. 20 feet from the water
B. to the point of high tide
C. to the water
D. 20 feet into the water
B. to the point of high tide
749
Selling your property for less than 1/2 of the fair market value could result in the
sale being rescinded under:
Select one:
A. redhibition.
B. lesion beyond moiety.
C. confusion.
D. forced heirship.
B. lesion beyond moiety.
750
The type of conveyance that holds the greatest guarantee for the buyer is a
Select one:
A. sale without warranty
B. quitclaim
C. sale with warranty
D. bond for deed
C. sale with warranty
751
In Louisiana, joint tenancy is
Select one:
A. illegal
B. the same as co-ownership
C. the same as community property
D. legal, but rarely used
A. illegal
752
A friendly foreclosure is known in Louisiana as
Select one:
A. novation
B. judicial foreclosure
C. legal foreclosure
D. dation en paiement
D. dation en paiement
753
When the dominant estate and the servient estate become one and the same it is described as
Select one:
A. assemblage
B. merger
C. confusion
D. recombination
C. confusion
754
If a man dies testate leaving a son and a daughter under the age of 24, what
would his forced portion be?
Select one:
A. One fourth
B. One third
C. One half
D. Three fourths
C. One half
755
Unharvested crops belonging to someone other than the owner of the land would be
Select one:
A. movables by anticipation
B. separate immovables
C. real property
D. incorporeal possessions
A. movables by anticipation
756
A person who inherits something by act of law, with no will is known as
Select one:
A. legatee
B. heir
C. testator
D. testatrix
B. heir
757
Decedent is the term which refers to:
Select one:
A. the legatee
B. the heir
C. the one who has died
D. the one who prepared the will
C. the one who has died
758
Ownership of a tract of land carries with it ownership of everything directly
above and beneath.
Select one:
True
False
True
759
Riparian rights are those rights governing:
Select one:
A. lakes and seas
B. ponds
C. rivers and streams
D. coastlines
C. rivers and streams
760
The taking of private property for public use without compensation is called:
Select one:
A. eminent domain
B. expropriation
C. appropriation
D. acquisitive prescription
C. appropriation
761
An obligation is ______ for the obligees when it gives each the right to demand
the whole performance from the obligor.
Select one:
a. Solidary
b. Confused
c. Novated
d. Obligatory
a. Solidary
762
A contract in which both parties are obligated is called a:
Select one:
A. unilateral contract
B. bilateral contract
C. synallagmatic contract
D. both B and C.
D. both B and C.
763
The term “absolutely null” is similar to the Common Law term “void”, and the
term “relatively null” is similar to the Common Law term:
Select one:
a. Voidable
b. Nullity
c. Confusion
d. Extinguised
a. Voidable
764
If an immovable is sold for less than half of its value, the sale may be rescinded
under:
Select one:
A. redhibition
B. quitclaim
C. lesion beyond moiety
D. dissolution of sale
C. lesion beyond moiety
765
Unharvested fruits and crops belonging to someone other than the owner of the
land are:
Select one:
A. separate immovables
B. components by attachment
C. movables by anticipation
D. incorporeal movables
C. movables by anticipation
766
The word "lien" is used interchangeably with the word _______.
Select one:
a. Privilege
b. Mortgage
c. Vendor
d. Right
a. Privilege
767
Generally, mortgages and liens have priority according to which was recorded
first. However, liens which have priority over mortgages regardless of the date
recorded are:
Select one:
A. mechanic's liens
B. tax liens
C. Both
D. Neither
C. Both
768
Which type of foreclosure is faster?
Select one:
A. ordinary process
B. executory process
C. executed process
D. general process
B. executory process
769
There are no property taxes paid to the State of Louisiana.
Select one:
True
False
True
770
If a leased property is sold during the term of the lease, does the new owner
have to honor the lease?
Select one:
A. yes
B. no
C. yes, if the lease was recorded
D. only if provided for in the lease
C. yes, if the lease was recorded
771
A person who owns only the right of abusus is called a:
Select one:
A. usufructuary
B. abused person
C. negligible owner
D. naked owner
D. naked owner
772
A personal servitude that confers in favor of another person a specified use of
an estate less than full enjoyment is called:
Select one:
a. Right of use.
b. Fructus.
c. Habitation.
d. License.
a. Right of use.
773
How can a predial servitude be terminated?
Select one:
A. by the dominant estate
B. by the servient estate
C. by confusion
D. both A and C
D. both A and C
774
Property acquired during a marriage, by the marriage is known as:
Select one:
A. community property
B. separate property
C. marital property
D. matrimonial property
A. community property
775
A type of donation which is to take place at the time of the donor's death is
called:
Select one:
A. donation inter vivos
B. donation mortis
C. donation mortis causa
D. donation in contemplation of death
C. donation mortis causa
776
The Louisiana term for a limited partnership is:
Select one:
A. co-ownership
B. partnership
C. partnership in commendam
D. limited law corporation
C. partnership in commendam
777
An obligation is ______ for the obligees when it gives each the right to demand
the whole performance from the obligor.
Select one:
a. Solidary
b. Confused
c. Novated
d. Obligatory
a. Solidary
778
If a person makes improvements or plantings on a property in good faith, that is believing that he has the right, what will become of the improvements or
plantings?
Select one:
A. He is entitled to their current value.
B. They become the property of the owner of the land.
C. He must have them removed
D. He must sue.
A. He is entitled to their current value.
779
No person shall at any time, while on the premises of a certified real estate
school, discuss the sponsorship of any student by any licensee of the
Commission.
Select one:
True
False
True
780
The Commission has the power to:
Select one:
A. issue licenses, registrations, and certificates.
B. censure licensees, registrants, and certificate holders.
C. suspend or revoke licenses, registrations, and certificates.
D. All three of these
D. All three of these
781
How long must the licensee retain the signed portion of the agency disclosure
pamphlet?
Select one:
A. until the sale is closed
B. for 3 years
C. for 5 years
D. for 10 years
C. for 5 years
782
What is the minimum amout of funds that must be maintained in the recovery
fund?
Select one:
a. $400,000
b. $200,000
c. $100,000
d. $40,000
a. $400,000
783
Who can a salesperson receive a commission payment from?
Select one:
A. the seller
B. the buyer
C. his or her sponsoring broker
D. the listing broker
C. his or her sponsoring broker
784
Which of the following is required in every written lease, rental agreement, or
contract for sale?
Select one:
A. marital status of lessee
B. street address of seller or lessor
C. notice of statewide database of location of registered sex offenders
D. all of the above
C. notice of statewide database of location of registered sex offenders
785
A real estate broker who holds a salesperson's license is a:
Select one:
A. qualifying broker
B. sponsoring broker
C. manager
D. associate broker
B. sponsoring broker
786
Inactive licensees must carry Errors & Omissions insurance.
Select one:
True
False
False
787
Things that would otherwise be classified as immovable may be classified as
movable by what action?
Select one:
a. Declaration and registry in the conveyance records of the parish.
b. Attachment.
c. Detachment.
d. Confusion.
a. Declaration and registry in the conveyance records of the parish.
788
Within how many days must a broker notify the Commission of a change of his
business address?
Select one:
A. 3 days
B. 5 days
C. 7 days
D. 10 days
D. 10 days
789
Which of the following statements is TRUE regarding escrow accounts?
Select one:
A. A broker may open an additional escrow account when it is in the
interest of the principal parties to a particular transaction.
B. Escrow account must be non-interest bearing unless all parties having an interest in the funds deposited in the account have agreed otherwise in writing.
C. Personal funds of $2500 or less may be kept in an escrow account.
D. All of the above
D. All of the above
790
Who may open and maintain an escrow account?
Select one:
a. Individual real estate brokers
b. Individual brokers and associate brokers
c. Individual brokers, associate brokers, and salespersons
d. Anyone
a. Individual real estate brokers
791
Which of the following is true regarding listing agreements when a salesperson
transfers to a new sponsoring broker?
Select one:
a. They are the property of the original broker.
b. They are the property of the salesperson.
c. They are the property of the new sponsoring broker.
d. They must be terminated.
a. They are the property of the original broker.
792
In Louisiana, offers are:
Select one:
A. revocable until the time they are accepted
B. irrevocable until the time of acceptance or expiration of the offer
C. irrevocable only if stated in the contract
D. not enough information
B. irrevocable until the time of acceptance or expiration of the offer
793
The tear off part of the agency disclosure brochure must be retained for
Select one:
A. one year
B. two years
C. three years
D. five years
D. five years
794
Who holds the license of an active associate broker?
Select one:
a. The sponsoring broker.
b. The associate broker.
c. The Commission.
d. The Secretary of State.
a. The sponsoring broker.
795
Licensees must notify the Real Estate Commission within 10 days of a change
in mailing address OR physical address.
Select one:
True
False
True
796
A licensed person whose license has been transferred to inactive status is
Select one:
A. an active licensee.
B. not authorized to sell real estate.
C. not licensed.
D. this is illegal
B. not authorized to sell real estate.
797
The seller receives an offer on his house. He responds with a counter offer. While the buyer is considering the counter offer, the buyer sees a house that he likes better and is in a more favorable location. What should his agent advise him to do?
Select one:
a. The agent should tell the buyer to reject the counter offer before putting in an offer on the better house.
b. The agent should advise him to put an offer in on the house he likes more.
c. The agent should advise him to do nothing until the counter offer expires.
d. The agent should tell him that you cannot have two offers at the same
time on two different houses.
b. The agent should advise him to put an offer in on the house he likes more.
798
Acquiring property through possession over a period of 10 or 30 years is known
Select one:
A. acquisitive prescription
B. adverse possession
C. condemnation
D. dation en paiement
A. acquisitive prescription
799
How many days notice must be given to terminate a lease which has expired?
Select one:
A. 5 days
B. 10 days
C. 20 days
D. 30 days
B. 10 days
800
A type of usufruct that is created by an act such as an agreement or by a will is
called a:
Select one:
A. conventional usufruct
B. usufructuary
C. contractual usufruct
A. conventional usufruct
801
Which of the following CAN NOT be disclosed by the licensee when acting as a
dual agent?
Select one:
A. material defects
B. Confidential information about the seller
C. Confidential information about the buyer
D. Confidential information about buyer or seller
D. Confidential information about buyer or seller
802
A pledge of immovable property which is made to secure a debt is a:
Select one:
A. mortgage
B. judgment
C. privilege
D. paraph
A. mortgage
803
Franchise registrations must be renewed how often?
Select one:
a. Each year
b. Every two years
c. Never
d. Every 5 years
a. Each year
804
Who must sign the agency disclosure pamphlet?
Select one:
A. The licensee only.
B. The prospective seller/lessor or buyer/lessee.
C. The licensee and prospective sellor/lessor or buyer/lessee.
D. Neither.
C. The licensee and prospective sellor/lessor or buyer/lessee.
805
Agent Annie notices some mold in a corner of the basement of a house she is
showing to a prospective buyer. What should she do?
Select one:
a. Point it out to the buyer and give them the mold information pamphlet.
b. Nothing, since mold is common and does not have to be disclosed.
c. Give the buyer the mold information pamphlet, but not mention the
presence of the mold.
d. Mention it to the buyer but tell them it will come off with bleach so it's not a problem.
a. Point it out to the buyer and give them the mold information pamphlet.
806
If an investigation by the Commission indicates that a violation of the License
Law may have occurred, what happens next?
Select one:
A. informal adjudicatory proceedings are initiated.
B. Formal adjudicatory proceedings are initiated.
C. Both A and B
D. Either A or B
D. Either A or B
807
When given permission by the seller a listing broker or designated agent may
reject an offer or counter offer and sign the rejection in lieu of the seller.
Select one:
True
False
True
808
Louisiana licensees may automatically become licensed in
Select one:
A. States with which Louisiana has a reciprocal agreement.
B. States which border Louisiana
C. States in the southeastern section
D. No other states.
A. States with which Louisiana has a reciprocal agreement.
809
Land that is exposed by receding water along a river or stream is called:
Select one:
A. alluvion
B. dereliction
C. riparian
D. avulsion
B. dereliction
810
Intestate successors are known as:
Select one:
a. Heirs
b. Legatees
c. Survivors
d. Donors
a. Heirs
811
If a sponsoring broker does not renew his license by September 30th, which of
the following statements is TRUE regarding his sponsored licensees?
Select one:
a. They may not conduct any real estate business until the broker's license is renewed.
b. The licensee's license is revoked.
c. The licensee is put on probation for 3 months.
d. The licensee must transfer to a new sponsoring broker within 10 days.
a. They may not conduct any real estate business until the broker's license is renewed.
812
For how many branch offices may a sponsoring broker be designated as the
managing broker?
Select one:
a. One or more.
b. None.
c. One.
d. Three.
c. One.
813
Selling your property for less than 1/2 of the fair market value could result in the
sale being rescinded under:
Select one:
A. redhibition.
B. lesion beyond moiety.
C. confusion.
D. forced heirship
B. lesion beyond moiety.
814
Notice of charges against a licensee for a violation of the license law may be
delivered by registered mail or:
Select one:
a. in person.
b. by regular mail.
c. by telephone.
d. by email.
a. in person.
815
If an applicant for licensing does not take the state exam within 90 days after
turning in his license application to the Commission what will happen?
Select one:
A. The applicant must reapply to the Commission.
B. The applicant must wait six months.
C. The applicant must re-take the 90 hour course.
D. Nothing, the applicant has 6 months to take the exam.
A. The applicant must reapply to the Commission.
816
A licensee may remain on inactive status indefinitely.
Select one:
True
False
True
817
A licensee may act as a dual agent only with the informed written consent of all
clients.
Select one:
True
False
True
818
How long are brokers required to retain records of real estate transactions?
Select one:
A. one year
B. two years
C. three years
D. five years
D. five years
819
What is the penalty for violation of the usury law?
Select one:
A. forfeiture of the excess interest charge
B. forfeiture of the entire interest
C. forfeiture of the entire debt
D. forfeiture of the entire debt and interest
B. forfeiture of the entire interest
820
A donation in the chain of title, then, is a potential title problem because of the
possibility of revocation.
Select one:
True
False
True
821
If a homestead is sold at the sheriff’s sale, the homeowner is assured that his
homestead will sell for more than $35,000.00 and that the owner may retain or receive the first $35,000.00.
Select one:
True
False
True
822
Corporeal things can be seen felt or touched.
Select one:
True
False
True
823
If a lessee continues to occupy the property after the expiration of the term of the lease, the lease is automatically reconducted for:
Select one:
A. on a month to month basis
B. on a year to year basis
C. on a monthly basis for non-farm leases, and for another year for farm leases
D. There is no reconduction.
C. on a monthly basis for non-farm leases, and for another year for farm leases
824
The purpose of the Real Estate Recovery Fund is to
Select one:
A. provide funds for real estate education for licensees
B. make payments to licensees for commissions not received
C. reimburse any person who has suffered monetary damages because of acts committed by a licensee in a real estate transaction.
D. To recover money spent on continuing education seminars.
C. reimburse any person who has suffered monetary damages because of acts committed by a licensee in a real estate transaction.
825
The names of the two meridians in Louisiana are:
Select one:
A. St. Helena and Louisiana
B. Eastern and Central
C. St. Feliciana and Louisiana
D. They do not have names.
A. St. Helena and Louisiana
826
The name on a license, registration or timeshare certificate must be
Select one:
A. the name of the individual licensee
B. the name of the corporation, partnership or limited liability company as
registered with the Secretary of State
C. trade names registered with the Secretary of State.
D. Any of the above.
D. Any of the above.
827
A person other than an associate broker, who is sponsored by a real estate broker is called a/an:
Select one:
a. Real Estate Salesperson
b. Qualifying Salesperson
c. Qualifying Licensee
d. Timeshare Registrant
a. Real Estate Salesperson
828
When a licensed agency is purchased by another licensed agency, the sponsoring broker of the acquiring agency must notify the Commission within
Select one:
A. 2 business days
B. 3 business days
C. 5 business days
D. 7 business days
C. 5 business days
829
A mortgage which is stipulated by law is called a:
Select one:
A. conventional mortgage
B. legal mortgage
C. judicial mortgage
D. bond for deed
B. legal mortgage
830
Another term for Bond for Deed is:
Select one:
a. Contract for deed
b. Installment sale
c. Land contract
d. All of the above
d. All of the above
831
What form must be used when entering into a dual agency transaction?
Select one:
A. No form is needed
B. Dual Agency Disclosure Form
C. Agent-Client Disclosure Form
D. Dual agency is illegal.
B. Dual Agency Disclosure Form
832
Louisiana does not use deeds. The instrument used to transfer title is most
commonly called a:
Select one:
A. purchase agreement
B. conveyance
C. title
D. mortgage
B. conveyance
833
Applicants for broker licensing must complete a 30 hour broker responsibility
course as part of the 150 hours of education required.
Select one:
True
False
True
834
Which of the following is true regarding licensees who have placed their license
on inactive status?
Select one:
A. They must renew their inactive license each year.
B. They are not required to renew each year.
C. They may not transfer to active status until the end of the year.
D. In order to transfer to active status they must take an exam.
A. They must renew their inactive license each year.
835
The payment or promise of payment of compensation to a broker determines
whether an agency relationship has been created.
Select one:
A. True
B. False
False
836
The taking of private property for public use without compensation is called:
Select one:
A. eminent domain
B. expropriation
C. appropriation
D. acquisitive prescription
C. appropriation
837
If a real estate broker conducts business from more than one place of business,
which of the following is true?
Select one:
A. He is required to have one license for his main office only.
B. He is required to have a branch office license for each place of business.
C. No license is required.
D. None of the above.
B. He is required to have a branch office license for each place of business.
838
When there is no written agency agreement, who does the licensee represent in a transaction?
Select one:
A. the seller
B. the buyer
C. both
D. the one he is with
D. the one he is with
839
In the event of the death of the sponsoring broker, who may complete any pending real estate activities of the firm?
Select one:
A. Another brokerage firm will be appointed by the Commission to handle
the business.
B. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
C. No one. All current contracts are considered null and void.
D. A relative of the deceased broker will be appointed.
B. Any associate broker or salesperson who was sponsored by the deceased broker, upon written approval by the Commission.
840
If there are descendants, the surviving spouse has a legal usufruct over the
community property inherited by the descendants, either for life or until
remarriage.
Select one:
True
False
True
841
An associate broker or salesperson advertising on an internet site or e-mail
must include on each page
Select one:
A. his or her name and name of sponsoring broker
B. the city and state in which the sponsoring broker's office is located
C. all of the above
C. all of the above
842
When a corporation, limited liability company or partnership is dissolved, the
licenses of the qualifying broker and other sponsored licensees must be returned to the Commission within ____ days.
Select one:
A. 3
B. 5
C. 10
D. 30
B. 5
843
A person who holds a broker's license but is sponsored by another broker is a:
Select one:
A. salesperson
B. associate broker
C. individual broker
D. This is not legal
B. associate broker
844
Licensees shall have the option of obtaining errors and omissions insurance
independently, provided that the coverage contained in such policy complies with
the minimum requirements established by the commission.
Select one:
True
False
True
845
A contract in which the seller is obligated to sell if the buyer chooses to buy
within a specified time period, but the buyer is not obligated to buy is a/an:
Select one:
A. option
B. novation
C. synallagmatic contract
D. there is no such thing.
A. option
846
The lessor is required to return the security deposit, less any damages other
than normal wear and tear, within:
Select one:
A. 1 week
B. 1 month
C. 2 months
D. 6 months
B. 1 month
847
A seller may reserve the right to redeem the immovable property by returning
the price. This right may not be reserved for more than __ year(s).
Select one:
a. 10
b. 1
c. 3
d. 15
a. 10
848
Ownership of land along the seashore is
Select one:
A. 20 feet from the water
B. to the point of high tide
C. to the water
D. 20 feet into the water
B. to the point of high tide
849
The amount of exemption from "general creditors" in the forced sale of real
estate is:
Select one:
A. $1500
B. $5,000
C. $7,500
D. $35,000
D. $35,000
850
What happens to the licenses of salespersons or associate brokers when their sponsoring broker’s license is suspended or revoked?
Select one:
A. They are automatically transferred to another broker until they secure a new sponsoring broker.
B. Their licenses are also suspended or revoked.
C. The sponsoring broker has 72 hours to return all licenses to the Commission.
D. Nothing, they can continue to practice real estate.
C. The sponsoring broker has 72 hours to return all licenses to the Commission.
851
A servitude may be acquired with uninterrupted possession of the right for ___ years without good faith or just title.
Select one:
a. 30
b. 10
c. 15
d. 20
a. 30
852
If there are descendants, the surviving spouse has a legal usufruct over the
community property inherited by the descendants, either for life or until
remarriage. TRUE or FALSE?
Select one:
A. True
B. False
True
853
If there is only one child, what is the forced portion of a person's estate?
Select one:
A. ¼
B. ½
C. ¾
D. all
A. ¼
854
If a licensee is a director of a corporation which buys real estate and the
corporation is buying a property which is listed by his sponsoring broker, he must
Select one:
A. Refer the buyer to another firm
B. Not take part in the transaction or the closing
C. Disclose to the buyer that he is a licensed agent.
D. Do nothing.
C. Disclose to the buyer that he is a licensed agent.
855
A counteroffer is the same as:
Select one:
a. A rejection
b. A new offer
c. Both A and B
d. Neither A nor B
c. Both A and B
856
After a hearing, and upon determination that any federal or state law or
commission regulation has been or will be violated by any franchiser that is subject to the rules and regulations, the Real Estate Commission may do which
of the following?
Select one:
a. Withdraw the franchise registration
b. Issue a cease and desist order
c. Either A or B
d. A and/or B
d. A and/or B
857
In Louisiana, a bilateral contract is known as
Select one:
A. co-lateral
B. co-ownership
C. synallagmatic
D. non-transferable
C. synallagmatic
858
What happens if a licensee fails to turn in the affidavit of sponsorship to the
Commission within 90 days after passing the licensing exam?
Select one:
a. The Commission will issue an inactive license.
b. The applicant must reapply.
c. The applicant will be charged a $90 fee.
d. The applicant will have to take the exam again.
a. The Commission will issue an inactive license.
859
Any final conviction by a court of competent jurisdiction for forgery,
embezzlement, obtaining money under false pretenses, larceny, extortion,
conspiracy to defraud, theft, or any other felony, or any crime involving moral
turpitude shall be reported to the commission within:
Select one:
a. 3 days
b. 7 days
c. 10 days
d. 20 days
c. 10 days
860
The period for redeeming property which has been sold at the tax sale for
nonpayment of taxes is:
Select one:
A. 2 years
B. 3 years
C. 5 years
D. 3 to 5 years
D. 3 to 5 years
861
Agent Sally's broker had his license suspended for 30 days. Sally has a closing
in two weeks and doesn't want to inconvenience her client by making him wait. Which of the following statements is true?
Select one:
a. Sally's license is suspended until such time as her broker's license is reinstated or she transfers to another broker.
Sally's license is also suspended and she cannot participate in any real estate transactions.
b. Sally should go ahead with the closing because it would not be fair to her client to make them wait.
c. Sally can have an associate broker with her company go to the closing in her place.
d. Sally should let her clients complete the sale without representation and have the commission check postdated and mailed to her broker.
a. Sally's license is suspended until such time as her broker's license is reinstated or she transfers to another broker.
Sally's license is also suspended and she cannot participate in any real estate transactions.
862
Louisiana law divides ownership into three categories: Usus, Abusus, and ________.
Select one:
a. Fructus.
b. Naked Ownership.
c. Usufruct.
d. Dispossession.
a. Fructus.
863
How is a power of attorney terminated?
Select one:
a. When it is revoked.
b. When the principal or agent dies.
c. When the agent resigns or renounces.
d. Any of the above
d. Any of the above
864
The acquisition of the willed property, or succession by the legal heir or the
testamentary heir which occurs immediately upon death, even if the heir does not know of the death is known as?
Select one:
a. Seizin
b. Succession
c. Testation
d. Heirship
a. Seizin
865
Islands and sandbars that are not attached to the bank, formed in the beds of navigable rivers or streams belong to:
Select one:
a. The state
b. The owner of the land on the nearest bank.
c. The Federal Government
d. The parish
a. The state
866
Agent Lucy lists Seller Sally's house. Sally tells Lucy that there are no physical
defects on the property, so Lucy sees no need to give Sally a property disclosure
form. Which of the following statements is true?
Select one:
a. This is a violation of the license law.
b. There is no need for the property disclosure form if there are no
problems with the property.
c. Lucy only needs to provide the disclosure form if a buyer asks for it.
d. Property disclosure forms are optional.
a. This is a violation of the license law.
867
Which of the following can have an escrow account?
Select one:
A. any broker
B. any licensee
C. a sponsoring or qualifying broker
D. a sponsoring broker or an associate broker
C. a sponsoring or qualifying broker
868
If a person occupies a property for thirty years, knowing that he does not actually own the land, he may claim ownership under the concept of:
Select one:
A. good faith possession
B. bad faith possession
C. eminent domain
D. accession
B. bad faith possession
869
Every applicant for a license shall submit a sworn statement attesting that he has knowledge of and understands the provisions of
Select one:
A. The Civil Rights Act
B. The Fair Housing Act
C. The Equal Employment Opportunity Act
D. The Truth In Lending Law
B. The Fair Housing Act
870
Within ___ days following the transfer of funds upon acquisition of a licensed
agency by another licensed agency, a letter jointly signed by the sponsoring
brokers of the acquired agency and the acquiring agency shall be forwarded to
the commission certifying that all trust funds have been transferred.
Select one:
a. 5
b. 3
c. 2
d. 10
a. 5
871
Which of the following would NOT be subject to the laws and rules of the
Commission?
Select one:
A. a licensee selling his own property
B. an unlicensed owner selling his own property
C. an associate broker
D. a timeshare registrant
B. an unlicensed owner selling his own property
872
If a licensee is a director of a corporation, and the corporation is buying property that is listed by his sponsoring broker, the licensee must
Select one:
A. withdraw as director of the corporation
B. defer the buyer to another firm
C. disclose to the buyer that he is a licensee
D. do nothing
C. disclose to the buyer that he is a licensee
873
An applicant for a Louisiana license may not receive full credit for coursework
which was taken over
Select one:
A. 3 years ago
B. 5 years ago
C. 7 years ago
D. 10 years ago
B. 5 years ago
874
The tear off part of the agency disclosure form must be retained for
Select one:
A. 3 years
B. 4 years
C. 5 years
D. 7 years
C. 5 years
875
What are the two types of leases used in Louisiana?
Select one:
A. lease for rent and farm
B. lease for years and farming
C. farm lease and predial lease
D. periodic tenancy and tenancy for years
A. lease for rent and farm
876
A property manager needs to have unit 3 painted, but there is currently not
enough money in the account for that unit, however there is more than enough
money in the account for unit 10. The two units are owned by different clients.
Can the property manager temporarily use money from unit 10’s account to
have unit 3 painted if she returns the money later?
Select one:
A. this is okay as long as it is properly documented and the funds are repaid.
B. this is okay as long as her broker is notified.
C. this would be improper use of rental trust account funds.
D. this is not addressed by the laws or rules.
C. this would be improper use of rental trust account funds.
877
If a licensee chooses to appeal a finding of the Commission with the Nineteenth
Judicial District Court, any application for review must be filed within ______
days after the final decision of the Commission.
Select one:
A. 30
B. 1 year
C. 60 days
D. 45 days
A. 30
878
If a licensee is charged with a violation of the license laws or rules, they must
be notified how many days before the hearing?
Select one:
A. 10 days
B. 20 days
C. 30 days
D. 60 days
B. 20 days
879
If a broker’s license is revoked, what happens to the licenses of his
sponsored agents?
Select one:
A. they are automatically revoked
B. they are returned to the licensee
C. they are automatically suspended and must be returned to the commission within 72 hours
D. they are automatically placed on inactive status
C. they are automatically suspended and must be returned to the commission within 72 hours
880
When advertising on the internet, a broker must include his
Select one:
A. name
B. city and state
C. license number
D. both A and B
D. both A and B
881
The Commission must be notified in 10 days of which of the following?
Select one:
A. change of licensee's address
B. closing an escrow account
C. change of licensee's phone number
D. all of the above
D. all of the above
882
The fact or suspicion that a property may be psychologically impacted
Select one:
A. is a material fact
B. must be disclosed to prospective buyers
C. can not be disclosed to buyers
D. is not a material fact
D. is not a material fact
883
The definition of a qualifying broker is
Select one:
A. the sponsoring broker for a brokerage firm
B. the sponsoring broker for a corporation, limited liability company,
or partnership
C. an associate broker
D. a broker who is state certified
B. the sponsoring broker for a corporation, limited liability company,
or partnership
884
The Louisiana Real Estate Commission has the power to
Select one:
A. issue real estate licenses
B. censure, suspend, or revoke licensees
C. impose fines for violations
D. all of the above
D. all of the above
885
Every applicant for a real estate license shall submit a sworn statement that
Select one:
A. he has knowledge of the fair housing laws
B. he has knowledge of the license laws
C. he is a resident of the state
D. he is a resident of the country
A. he has knowledge of the fair housing laws
886
A licensee who has been on inactive status for one to three years must complete how many hours of continuing education to activate his license?
Select one:
A. 8
B. 20
C. 30
D. 40
B. 20
887
Which of the following does not need a license to sell real estate?
Select one:
A. an individual selling his own property
B. a builder selling homes he has built
C. an attorney acting on behalf of a client
D. all of the above
D. all of the above
888
If a broker has more than one office, how many licenses must he have?
Select one:
A. one for the main office only
B. one for each office
C. no licenses are required for offices
D. one main office license and one branch office license
B. one for each office
889
Penalties imposed by the Real Estate Commission for violations of the license
law may include all of the following EXCEPT
Select one:
A. censure, suspension, or revocation of license
B. continuing education requirements
C. fines
D. imprisonment
D. imprisonment
890
The maximum penalty that can be imposed by the state of Louisiana on a
licensee for a violation of the licensee is
Select one:
A. $1000 and one year in prison
B. $2000 and five years in prison
C. revocation of license
D. $500 fine
B. $2000 and five years in prison
891
The minimum amount of funds that must be kept in the Recovery Fund is
Select one:
A. $100,000
B. $200,000
C. $300,000
D. $400,000
D. $400,000
892
The maximum amount that may be paid from the Recovery Fund for claims
based upon judgments against any one licensed real estate licensee is?
Select one:
A. $10,000
B. $20,000
C. $30,000
D. $50,000
D. $50,000
893
Payments from the recovery fund arising from a judgment against one licensee
shall not exceed
Select one:
A. $20,000
B. $30,000
C. $40,000
D. $50,000
D. $50,000
894
A person who is not being represented by a licensee, but for whom the licensee
is performing ministerial acts is a
Select one:
A. client
B. principal
C. customer
D. agent
C. customer
895
A licensee named by his broker as representing a client is the
Select one:
A. designated agent
B. listing agent
C. qualifying agent
D. sponsoring agent
A. designated agent
896
If the seller gives false information to the agent, and the agent has no knowledge that the information is false, who may be held liable by the buyer?
Select one:
A. the seller
B. the agent
C. the seller and the agent
D. no one
A. the seller
897
When acting as a dual agent, which of the following is the agent prohibited from
disclosing?
Select one:
A. the lowest price the seller will take
B. the highest price the buyer will take
C. confidential information about either client
D. all of the above
D. all of the above
898
In Louisiana, joint tenancy is
Select one:
A. the same as co-ownership
B. illegal
C. the same as condominium ownership
D. the same as community property
B. illegal
899
An arpent is
Select one:
A. one square mile
B. slightly less than a section
C. about 5/6 of an acre
D. slightly larger than an acre
C. about 5/6 of an acre
900
Ownership along navigable waterways extends
Select one:
A. 10 feet from the banks
B. to the banks
C. to the center of the waterway
D. to the point of high tide
B. to the banks
901
The Louisiana Real Estate Commission has the right to revoke or suspend a
license for
Select one:
A. having been convicted of a felony
B. misuse of escrow funds
C. lying on your license application
D. all of the above
D. all of the above
902
What is the disposable portion of his estate if a man dies leaving a wife and two
children?
Select one:
A. one fourth
B. one half
C. three fourths
D. all
B. one half
903
If a buyer makes an offer to purchase accompanied by a deposit of $2000, but
does not specify what type of deposit it is, the deposit will be considered
Select one:
A. earnest money
B. specific performance
C. good faith deposit
D. just compensation
B. specific performance
904
An offer is made on Monday morning and is good until Wednesday at 5pm.
During this time the offer is
Select one:
A. voidable
B. revocable
C. irrevocable
D. equitable
C. irrevocable
905
Things which are permanently attached to a building and can not be removed
without damaging the structure are
Select one:
A. movables
B. personal property
C. immovable by anticipation
D. components by attachment
D. components by attachment
906
The use of the right of eminent domain is
Select one:
A. expropriation
B. redhibition
C. rescission
D. doctrine of prior appropriation
A. expropriation
907
Under a Bond for Deed, the seller may take back the property in the case of
default after
Select one:
A. 30 days
B. 45 days
C. 60 days
D. foreclosure at the sheriff
B. 45 days
908
The transmission of a decedent's estate is through:
Select one:
A. probate
B. legate
C. succession
D. testate
C. succession
909
If a tenant is allowed to remain on the property for an additional period of time
after the end of the term of the lease, this is called
Select one:
A. redhibition
B. rescission
C. recondition
D. reconduction
D. reconduction
910
If a broker is convicted of a felony, what disciplinary action must the
Commission take?
Select one:
A. none
B. suspend his license
C. revoke his license
D. revoke his license only if the conviction involved misuse of funds
C. revoke his license
911
A broker offers a bonus of $500 to any agent who sells a specific property
before a designated deadline. A salesperson from another company sells the property. Is this legal?
Select one:
A. this is legal if the bonus is paid to the broker
B. this is legal if the bonus is paid directly to the salesperson
C. this is legal if the seller agrees
D. this is not legal
A. this is legal if the bonus is paid to the broker
912
The physical use and enjoyment of a property is called
Select one:
A. good faith possession
B. corporeal possession
C. abusus
D. alienation
B. corporeal possession
913
Once money is paid from the recovery fund for a judgment against a licensee,
what happens?
Select one:
A. the licensee suffers no consequences.
B. the licensee's license is suspended
C. the licensee's license is revoked
D. the licensee is fined
C. the licensee's license is revoked
914
If a broker has 3 branch offices he must
Select one:
A. be able to oversee all 3 offices himself
B. appoint a designated agent to be in charge of 2 of them
C. appoint a secretary to manage 2 of them
D. appoint a supervising broker for each one
D. appoint a supervising broker for each one
915
All of the following are personal servitudes EXCEPT
Select one:
A. usufruct
B. license
C. habitation
D. right of ingress and egress
D. right of ingress and egress
916
Subdivision restrictions can be changed by
Select one:
A. agreement of 2/3 of the property owners
B. a vote of the board of directors at the annual meeting
C. special election
D. never
A. agreement of 2/3 of the property owners
917
The names of the two meridians in Louisiana are the Louisiana and the
Select one:
A. St. Tammany
B. St. Helena
C. prime meridian
D. Mississippi
B. St. Helena
918
Lesion beyond moiety occurs when a property sold for less than
Select one:
A. 1/4 of the market value at the time of sale
B. 1/2 of the market value at the time of sale
C. 2/3 of the market value at the time of sale
D. 3/4 of the market value at the time of sale
B. 1/2 of the market value at the time of sale
919
If a salesperson transfers his license to a new broker, what happens to his
current listings?
Select one:
A. they automatically transfer to the new broker
B. they remain with the original broker
C. the seller can choose which broker gets the listings
D. the Commission determines which broker gets the listings
B. they remain with the original broker
920
When can an agent have more than one broker?
Select one:
A. never
B. for the purpose of finishing up current transactions when transferring from one broker to another
C. when the agent is licensed in more than one state
D. any time
C. when the agent is licensed in more than one state
921
If a salesperson advertises one of his listings, he must include
Select one:
A. his phone number
B. his license number
C. his broker's name and phone number
D. none of the above
C. his broker's name and phone number
922
If a salesperson includes his name on a "for sale" sign it must:
Select one:
A. be subordinate to his broker's name
B. larger than his broker
C. also include his phone number
D. include his broker
A. be subordinate to his broker's name
923
An owner wishes to list a house "as is". The agent should:
Select one:
A. tell him he cannot be held liable for any latent material defects in the property
B. tell him he must disclose any material defects to any prospective buyers
C. tell him it is illegal to sell d"as is"
D. list the property as instructed by the seller and assume he does not
want to disclose any material defects
B. tell him he must disclose any material defects to any prospective buyers
924
A partnership buys a property. How is the property owned?
Select one:
A. by the partners as joint tenants
B. by the partnership if the articles are in writing
C. by the partnership if the articles are recorded
D. by the partnership whether the articles are in writing or not
B. by the partnership if the articles are in writing
925
Which of the following would not be considered an encumbrance?
Select one:
A. a mortgage
B. a garage built over the property line
C. party walls
D. an easement
C. party walls
926
How does the disposition of a naked owner affect the usufruct?
Select one:
A. It has no effect.
B. It ends the usufruct.
C. It extends the usufruct beyond remarriage.
D. It extends the usufruct to other relatives of the usufructuary.
A. It has no effect.
927
A vendor's privilege usually covers the:
Select one:
A. sale price
B. liens
C. judgments
D. mortgage balance
A. sale price
928
To secure a deficiency judgment in the state of Louisiana, all of the following
are true EXCEPT
Select one:
A. The property must go to the sheriff's sale
B. Bidding must start at 2/3 of the mortgage amount.
C. Bidding must start at 2/3 of the appraised value
D. The property must sell for less than all monies due.
B. Bidding must start at 2/3 of the mortgage amount.
929
A licensed salesperson advertises a property which he owns for sale in the
newspaper. It is not listed with a broker. He must list
Select one:
A. his broker's name
B. his broker’s license number
C. that he is a licensed agent
D. his broker’s name and phone number
C. that he is a licensed agent
930
When a claimant has received final judgment in a court of competent
jurisdiction in Louisiana in any action wherein the cause of action was based on
a violation of a license law, the claimant has how many days to file for payment
from the Recovery Fund?
Select one:
A. 30 days
B. 60 days
C. 90 days
D. 180 days
D. 180 days
