LEGAL ASPECTS CORRECT TEST PAPER
QUESTIONS AND ANSWERS SET A+
✔✔a. estoppel
An estoppel certificate is a document used in mortgage negotiations to establish facts
and financial obligations, such as outstanding amounts due that can affect the
settlement of a loan. It is required by a lender of a third party in a real estate transaction
- ✔✔An agency created by ____ occurs when a principal causes a third party to believe
that another person is acting as the principal's agent.
a. estoppel
b. indemnification
c. agreement
d. power of attorney
✔✔b. material fact. - ✔✔A fact that would prevent a buyer from authorizing an agent to
purchase a property had he or she known about the fact is a:
a. tort.
b. material fact.
c. respondeat superior.
d. procuring cause.
✔✔d. all of the choices apply - ✔✔An agent successfully earns a commission when he
or she does which of the following?
a. procures a ready buyer
b. procures a buyer that is willing to purchase
c. procures a buyer that is able
d. all of the choices apply
✔✔c. operation of law. - ✔✔An agency can be terminated by:
, a. estoppel.
b. implication.
c. operation of law.
d. ratification.
✔✔b. Civil Rights act of 1968. - ✔✔The civil rights movement in America began with
the:
a. Thirteenth and Fourteenth Amendments.
b. Civil Rights act of 1968.
c. Fair Housing Act.
d. court case, Jones v. Mayer.
✔✔c. Fair Housing Amendments Act of 1988 - ✔✔Which law expanded the protected
classes to include not only race, but also national origin, color, sex, and religion?
a. Civil Rights Act or 1968
b. Civil Rights Act of 1988
c. Fair Housing Amendments Act of 1988
d. Equal Credit Opportunity Act (ECOA)
✔✔c. Civil Rights Act of 1968 / Fair Housing Amendments Act of 1988 - ✔✔The Fair
Housing Act brings together the ___ and ___ to provide anti discriminatory protection in
housing, education, and employment.
a. 1866 Civil Rights Act / Fair Housing Amendments Act of 1988
b. 1866 Civil Rights Act / Jones v. Mayer
c. Civil Rights Act of 1968 / Fair Housing Amendments Act of 1988
d. Civil Rights Act of 1968 / Jones v. Mayer
✔✔d. Pam should tell the buyer that she is prohibited by law from discussing the racial
composition of a particular neighborhood. - ✔✔A prospective buyer, who is white,
contacts Pam, a broker, about houses on the market. The buyer tells Pam that he does
not like Hispanics, and asks her whether there are a lot of Hispanics living in a particular
neighborhood. How should Pam answer the question?
a. Pam should give a truthful account of the racial composition of the neighborhood to
the best of her knowledge.
b. Pam should change the subject, but attempt to steer the buyer to neighborhoods she
knows are mostly white without actually letting the buyer know what she's doing.
QUESTIONS AND ANSWERS SET A+
✔✔a. estoppel
An estoppel certificate is a document used in mortgage negotiations to establish facts
and financial obligations, such as outstanding amounts due that can affect the
settlement of a loan. It is required by a lender of a third party in a real estate transaction
- ✔✔An agency created by ____ occurs when a principal causes a third party to believe
that another person is acting as the principal's agent.
a. estoppel
b. indemnification
c. agreement
d. power of attorney
✔✔b. material fact. - ✔✔A fact that would prevent a buyer from authorizing an agent to
purchase a property had he or she known about the fact is a:
a. tort.
b. material fact.
c. respondeat superior.
d. procuring cause.
✔✔d. all of the choices apply - ✔✔An agent successfully earns a commission when he
or she does which of the following?
a. procures a ready buyer
b. procures a buyer that is willing to purchase
c. procures a buyer that is able
d. all of the choices apply
✔✔c. operation of law. - ✔✔An agency can be terminated by:
, a. estoppel.
b. implication.
c. operation of law.
d. ratification.
✔✔b. Civil Rights act of 1968. - ✔✔The civil rights movement in America began with
the:
a. Thirteenth and Fourteenth Amendments.
b. Civil Rights act of 1968.
c. Fair Housing Act.
d. court case, Jones v. Mayer.
✔✔c. Fair Housing Amendments Act of 1988 - ✔✔Which law expanded the protected
classes to include not only race, but also national origin, color, sex, and religion?
a. Civil Rights Act or 1968
b. Civil Rights Act of 1988
c. Fair Housing Amendments Act of 1988
d. Equal Credit Opportunity Act (ECOA)
✔✔c. Civil Rights Act of 1968 / Fair Housing Amendments Act of 1988 - ✔✔The Fair
Housing Act brings together the ___ and ___ to provide anti discriminatory protection in
housing, education, and employment.
a. 1866 Civil Rights Act / Fair Housing Amendments Act of 1988
b. 1866 Civil Rights Act / Jones v. Mayer
c. Civil Rights Act of 1968 / Fair Housing Amendments Act of 1988
d. Civil Rights Act of 1968 / Jones v. Mayer
✔✔d. Pam should tell the buyer that she is prohibited by law from discussing the racial
composition of a particular neighborhood. - ✔✔A prospective buyer, who is white,
contacts Pam, a broker, about houses on the market. The buyer tells Pam that he does
not like Hispanics, and asks her whether there are a lot of Hispanics living in a particular
neighborhood. How should Pam answer the question?
a. Pam should give a truthful account of the racial composition of the neighborhood to
the best of her knowledge.
b. Pam should change the subject, but attempt to steer the buyer to neighborhoods she
knows are mostly white without actually letting the buyer know what she's doing.
