LOMA 311 EXAM QUESTIONS
WITH ALL CORRECT ANSWERS
GRADED A+
Actual Authority - Answer-The authority to act on behalf of the principal that the principal
intentionally confers (grants) on the agent and that the agent reasonably believes in
conferred.
Express Authority - Answer-The actual authority that a principal explicitly grants to an
agent.
Implied Authority - Answer-The actual authority that a principal intends an agent to have
and that arises incidentally from an express grand of authority.
Duty of Competence - Answer-The level of care required of an agent is the same as that
of a reasonably prudent person who has the same skills as the agent.
Indemnification - Answer-The compensation or reimbursement of another person's loss.
Ratification - Answer-The adoption/acknowledgment by a principal of an act that was
taken on the principal's behalf but without the principal's authorization.
Vicarious Liability - Answer-Indirect liability. Ex. When an employee commits a tort while
in the course of his employment, the employer is also liable for the tort.
Warranty of Authority - Answer-A guarantee recognized by law that an agent is acting
on behalf of a principal who has contractual capacity and that the agent has authority to
act for the principal.
Real Property - Answer-Property such as land and whatever is growing on or affixed to
the land.
Transferee - Answer-The party who sells property to another party.
Transferor - Answer-The party who buys property from another party.
Tenants in Common - Answer-Two or more parties who each own an undivided portion
of property. Each tenant has an equal right to possess and use the property, and each
has the right to sell or otherwise transfer ownership.
,Joint Tenancy - Answer-Two or more individuals own equal shares in property and have
a right to survivorship. Each tenant has an equal right to possess and use the property,
and each has the right to sell or otherwise transfer ownership. However, such a transfer
creates a tenancy in common.
Right to Survivorship - Answer-When one joint tenant dies, his share automatically
passes to the surviving joint tenant or tenants.
Community Property Laws - Answer-Law that states property acquired by one spouse
during a marriage as a gift or inheritance is the separate property of that spouse.
Income earned during a marriage is community property and any property purchased
with joint funds is considered to be community property.
Negative Easement - Answer-The right to prevent another party from making specific
uses of his own property.
Affirmative Easement - Answer-The right to make specific uses of another person's
property.
Restrictive Covenant - Answer-Agreements entered into by real property owners that
place restrictions on how the owners may use their property.
Zoning Restriction - Answer-A zoning law in a jurisdiction that affects how land within
the jurisdiction may be used.
Mortgagee - Answer-(Lender) The party to whom the interest is transferred - usually a
financial institution such as a bank.
Mortgagor - Answer-The borrower, who transfers its interest in property to another party
as security for a loan or other obligation.
Grantee - Answer-The person to whom title to real property is transferred by means of a
deed.
Warranty Deed - Answer-Conveys clear title to the property and which contains
warranties that the grantor has clear title to the property.
Quitclaim Deed - Answer-Conveys whatever ownership rights the grantor had in the
property when the teed was executed. Does not contain warranties of title. The grantor
does not have claim to have title to the property. Often used to correct technical defects
in the chain of title to property.
Grantor - Answer-The person who transfers title of real property to another person by
means of a deed.
Testator - Answer-Person who makes the will.
, Holographic Will - Answer-A will that is handwritten and signed by the person making
the will, the testator.
Codicil - Answer-A testamentary document that supplements a will in order to revise the
will.
Intestate - Answer-To die without a valid will is to die __________.
Testate - Answer-A person who does with a valid will.
Administrator - Answer-The personal representative who is appointed by the court when
the decedent dies intestate.
Executor - Answer-The personal representative named in a will that the testator wants
the court to appoint as a personal representative.
Copyright - Answer-A right that is granted by statute to the author or originator of an
original literary or artistic work and that gives the holder the exclusive right to publish,
produce, or perform the work for a specified time. These attach upon creation of work.
Patent - Answer-A governmental grant of property rights to the inventor or creator of an
original process, machine, manufactured article, or chemical compound. Is effective
only after the applicable government agency acts upon an application.
Trademark - Answer-A word, phrase, symbol, design, or combination thereof that
identifies and distinguishes the source of one party's goods from those of other parties.
Service Mark - Answer-A word, phrase, symbol, design, or combination that identifies
and distinguishes the source of a service.
Uniform Commercial Code (UCC) - Answer-A model law created to govern commercial
transactions. Contains 9 articles.
Article 2 of the UCC - Answer-Governs contracts for the sale of goods, such as office
furniture. It does not apply to contracts involving the sale of services, real estate, or
intangible property.
Common Law, UCC - Answer-Under the __________, one party must make a definite
offer and the other party must accept that offer unconditionally to create an enforceable
contract. By contrast, according to __________, the intent of the parties determines
whether a contract has been created.
Drawee - Answer-The bank from which the money is to be withdrawn when a person
writes a check.
WITH ALL CORRECT ANSWERS
GRADED A+
Actual Authority - Answer-The authority to act on behalf of the principal that the principal
intentionally confers (grants) on the agent and that the agent reasonably believes in
conferred.
Express Authority - Answer-The actual authority that a principal explicitly grants to an
agent.
Implied Authority - Answer-The actual authority that a principal intends an agent to have
and that arises incidentally from an express grand of authority.
Duty of Competence - Answer-The level of care required of an agent is the same as that
of a reasonably prudent person who has the same skills as the agent.
Indemnification - Answer-The compensation or reimbursement of another person's loss.
Ratification - Answer-The adoption/acknowledgment by a principal of an act that was
taken on the principal's behalf but without the principal's authorization.
Vicarious Liability - Answer-Indirect liability. Ex. When an employee commits a tort while
in the course of his employment, the employer is also liable for the tort.
Warranty of Authority - Answer-A guarantee recognized by law that an agent is acting
on behalf of a principal who has contractual capacity and that the agent has authority to
act for the principal.
Real Property - Answer-Property such as land and whatever is growing on or affixed to
the land.
Transferee - Answer-The party who sells property to another party.
Transferor - Answer-The party who buys property from another party.
Tenants in Common - Answer-Two or more parties who each own an undivided portion
of property. Each tenant has an equal right to possess and use the property, and each
has the right to sell or otherwise transfer ownership.
,Joint Tenancy - Answer-Two or more individuals own equal shares in property and have
a right to survivorship. Each tenant has an equal right to possess and use the property,
and each has the right to sell or otherwise transfer ownership. However, such a transfer
creates a tenancy in common.
Right to Survivorship - Answer-When one joint tenant dies, his share automatically
passes to the surviving joint tenant or tenants.
Community Property Laws - Answer-Law that states property acquired by one spouse
during a marriage as a gift or inheritance is the separate property of that spouse.
Income earned during a marriage is community property and any property purchased
with joint funds is considered to be community property.
Negative Easement - Answer-The right to prevent another party from making specific
uses of his own property.
Affirmative Easement - Answer-The right to make specific uses of another person's
property.
Restrictive Covenant - Answer-Agreements entered into by real property owners that
place restrictions on how the owners may use their property.
Zoning Restriction - Answer-A zoning law in a jurisdiction that affects how land within
the jurisdiction may be used.
Mortgagee - Answer-(Lender) The party to whom the interest is transferred - usually a
financial institution such as a bank.
Mortgagor - Answer-The borrower, who transfers its interest in property to another party
as security for a loan or other obligation.
Grantee - Answer-The person to whom title to real property is transferred by means of a
deed.
Warranty Deed - Answer-Conveys clear title to the property and which contains
warranties that the grantor has clear title to the property.
Quitclaim Deed - Answer-Conveys whatever ownership rights the grantor had in the
property when the teed was executed. Does not contain warranties of title. The grantor
does not have claim to have title to the property. Often used to correct technical defects
in the chain of title to property.
Grantor - Answer-The person who transfers title of real property to another person by
means of a deed.
Testator - Answer-Person who makes the will.
, Holographic Will - Answer-A will that is handwritten and signed by the person making
the will, the testator.
Codicil - Answer-A testamentary document that supplements a will in order to revise the
will.
Intestate - Answer-To die without a valid will is to die __________.
Testate - Answer-A person who does with a valid will.
Administrator - Answer-The personal representative who is appointed by the court when
the decedent dies intestate.
Executor - Answer-The personal representative named in a will that the testator wants
the court to appoint as a personal representative.
Copyright - Answer-A right that is granted by statute to the author or originator of an
original literary or artistic work and that gives the holder the exclusive right to publish,
produce, or perform the work for a specified time. These attach upon creation of work.
Patent - Answer-A governmental grant of property rights to the inventor or creator of an
original process, machine, manufactured article, or chemical compound. Is effective
only after the applicable government agency acts upon an application.
Trademark - Answer-A word, phrase, symbol, design, or combination thereof that
identifies and distinguishes the source of one party's goods from those of other parties.
Service Mark - Answer-A word, phrase, symbol, design, or combination that identifies
and distinguishes the source of a service.
Uniform Commercial Code (UCC) - Answer-A model law created to govern commercial
transactions. Contains 9 articles.
Article 2 of the UCC - Answer-Governs contracts for the sale of goods, such as office
furniture. It does not apply to contracts involving the sale of services, real estate, or
intangible property.
Common Law, UCC - Answer-Under the __________, one party must make a definite
offer and the other party must accept that offer unconditionally to create an enforceable
contract. By contrast, according to __________, the intent of the parties determines
whether a contract has been created.
Drawee - Answer-The bank from which the money is to be withdrawn when a person
writes a check.
