Legal Aspects of Real Estate Exam
Questions with Verified Answers
Proposed legislation that undergoes debate and is voted on by the House of
Representatives and the Senate is called a:
a. law
b. bill
c. statue
d. code - ANSWER-b. bill
If a licensee causes damage due to negligence, it is considered a(n):
a. criminal offense
b fraudulent act
c. intentional tort
d. unintentional tort - ANSWER-d. unintentional tort
Many areas of the law, such as agency law, property law, and tort law, are governed
extensively by _________ law.
a. common
b. federal
c. ordinance
d. statute - ANSWER-a. common
Discrimination in the purchasing or renting of real estate is regulated by __________
law.
a. probate
b. fair housing
c. antitrust
d. agency - ANSWER-b. fair housing
A real estate salesperson receives a complaint by a former client who is accusing
her of misrepresentation of facts when purchasing a home. What could happen? -
ANSWER-The real estate salesperson ignores the complaint, resulting in a default
judgment.
What is the process of bringing a lawsuit against someone?
a. default
b. interrogatory
c. litigation
d. resolution - ANSWER-c. litigation
The __________ administers the Real Estate Law in California.
,a. department of real estate
b. united states supreme court
c. federal district courts
d. court of appeals - ANSWER-a. department of real estate
Which of the following is a type of legal remedy?
a. compensatory damages
b. punitive damages
c. nominal damages
d. all of the choices apply - ANSWER-d. all of the choices apply
What is one of the best defenses in a lawsuit?
a. appeals
b. documentation
c. licensing
d. precedent - ANSWER-b. documentation
All legal rights attached to the ownership of property - ANSWER-bundle of rights
Moveable items not permanently attached to land - ANSWER-personal property
Land, anything permanently attached to the land, anything appurtenant to the land,
or anything immovable by law - ANSWER-real property
Naturally occurring plant growth, such as grasses, trees, and shrubs as part of the
real property - ANSWER-frutus naturales
Annual crops produced by human labor, such as fruits, nuts, vegetables, and grains -
ANSWER-fructus industriales
Annual crops cultivated by tenant farmers and sharecroppers - ANSWER-
emblements
Anything permanently attached to real property - ANSWER-fixture
Rights to the air space above the property - ANSWER-air rights
All rights, privileges, and improvements that belong to and pass with the transfer of
the property, but that are not necessarily a part of the actual property - ANSWER-
appurtenances
Water beneath the surface of the land filling the spaces and cavities between the
rocks and soil - ANSWER-groundwater
Right of an owner of property bordering a surface water source to use the water -
ANSWER-riparian rights
Rights limited to reasonable and beneficial use - ANSWER-unsufructuary rights
,Right to take riparian surface water for a beneficial use on non-adjacent property -
ANSWER-appropriative water rights
Landowners' right to have their land in its natural condition held in place from the
sides by adjoining land so that it will not fall away - ANSWER-lateral support
Absolute right of the property owner to have his or her land supported from beneath
its surface - ANSWER-subjacent rights
Rights to the natural resources, such as minerals, oil, and gas below the surface -
ANSWER-subsurface rights
Written description of a particular parcel of land identifying it as precisely as possible
- ANSWER-legal description
Professional measurement of a tract of land with its boundaries, contents, and
location relative to other property - ANSWER-survey
Survey reference mark made on a monument indicating a known location and
elevation - ANSWER-benchmark
Oldest method used to describe real property - ANSWER-Metes and bounds
Point from which a metes and bounds survey begins - ANSWER-point of beginning
Grid of square, each six miles by six miles (36 square miles) - ANSWER-township
Subdivision map showing the location and boundaries of lots, street rights-of-way,
project name, and easements - ANSWER-plat
Single parcel of land within a subdivision - ANSWER-lot
Contiguous group of lots generally bounded by man-made features, such as streets
or natural features, such as creeks - ANSWER-block
Tom and Sarah have decided to sell their home. Which of the bundle of rights gives
them the right to sell their property?
a. Right of enjoyment
b. Right of possession
c. Right to transfer
d. Right to use - ANSWER-c. right to transfer
The right of transfer gives a property owner the right to dispose of the property in any
way permitted by law
What is the commonality of air rights, surface rights, and subsurface rights?
a. Bundle of rights
, b. Contracts
c. Land
d. Personal property - ANSWER-c. land
Land includes the surface, limited quantities of airspace above the surface, and the
materials and minerals beneath the surface (subsurface).
Of the following, which would not be considered permanently attached and therefore
is not real property?
a. Ranch style, 3-bedroom, 2-bath home
b. A crop of wheat ready to be harvested
c. Wild red raspberry bushes
d. A recently installed skylight on the roof of a cottage - ANSWER-b. a crop of wheat
ready to be harvested
The ranch style home is an improvement and is real property. The wheat crop is
fructus industriales and is personal property. The raspberry bushes are fructus
naturales and are real property. The skylight is a permanently installed fixture on the
roof of the cottage, which is an improvement.
Which of the following statements is correct when determining whether property is
personal or real?
a. If no agreement exists between the parties, the next step is to look at the method
of attachment.
b. The adaptation of the property is the first and primary factor.
c. The intention of the parties is only a qualifier to distinguish real or personal
property.
d. The method of attachment should be the first and primary factor. - ANSWER-a. if
no agreement exists between the parties, the next step is to look at the method of
attachment.
The first and primary factor is whether an agreement exists between the parties. If
the buyers and sellers have not agreed that a particular item is included in a sale, the
next step is to look at the method of attachment.
Mike leased commercial space from Jim, for his pizza business. Mike bought and
attached a restaurant-sized pizza oven. He plans to take it to a new location upon
expiration of the lease. What is the status of the oven at the end of the lease?
a. As an attached fixture, the oven is real property belonging to Jim.
b. The oven is a trade fixture belonging to Jim, so he can leave it for the next tenant
or remove it.
c. The oven is Mike's personal property, and he must remove the oven even if it
means damaging the unit.
d. Since the oven is a trade fixture, Mike may remove it as long as he does not
damage the space - ANSWER-d. since the oven is a trade fixture, mike may remove
it as long as he does not damage the space.
Questions with Verified Answers
Proposed legislation that undergoes debate and is voted on by the House of
Representatives and the Senate is called a:
a. law
b. bill
c. statue
d. code - ANSWER-b. bill
If a licensee causes damage due to negligence, it is considered a(n):
a. criminal offense
b fraudulent act
c. intentional tort
d. unintentional tort - ANSWER-d. unintentional tort
Many areas of the law, such as agency law, property law, and tort law, are governed
extensively by _________ law.
a. common
b. federal
c. ordinance
d. statute - ANSWER-a. common
Discrimination in the purchasing or renting of real estate is regulated by __________
law.
a. probate
b. fair housing
c. antitrust
d. agency - ANSWER-b. fair housing
A real estate salesperson receives a complaint by a former client who is accusing
her of misrepresentation of facts when purchasing a home. What could happen? -
ANSWER-The real estate salesperson ignores the complaint, resulting in a default
judgment.
What is the process of bringing a lawsuit against someone?
a. default
b. interrogatory
c. litigation
d. resolution - ANSWER-c. litigation
The __________ administers the Real Estate Law in California.
,a. department of real estate
b. united states supreme court
c. federal district courts
d. court of appeals - ANSWER-a. department of real estate
Which of the following is a type of legal remedy?
a. compensatory damages
b. punitive damages
c. nominal damages
d. all of the choices apply - ANSWER-d. all of the choices apply
What is one of the best defenses in a lawsuit?
a. appeals
b. documentation
c. licensing
d. precedent - ANSWER-b. documentation
All legal rights attached to the ownership of property - ANSWER-bundle of rights
Moveable items not permanently attached to land - ANSWER-personal property
Land, anything permanently attached to the land, anything appurtenant to the land,
or anything immovable by law - ANSWER-real property
Naturally occurring plant growth, such as grasses, trees, and shrubs as part of the
real property - ANSWER-frutus naturales
Annual crops produced by human labor, such as fruits, nuts, vegetables, and grains -
ANSWER-fructus industriales
Annual crops cultivated by tenant farmers and sharecroppers - ANSWER-
emblements
Anything permanently attached to real property - ANSWER-fixture
Rights to the air space above the property - ANSWER-air rights
All rights, privileges, and improvements that belong to and pass with the transfer of
the property, but that are not necessarily a part of the actual property - ANSWER-
appurtenances
Water beneath the surface of the land filling the spaces and cavities between the
rocks and soil - ANSWER-groundwater
Right of an owner of property bordering a surface water source to use the water -
ANSWER-riparian rights
Rights limited to reasonable and beneficial use - ANSWER-unsufructuary rights
,Right to take riparian surface water for a beneficial use on non-adjacent property -
ANSWER-appropriative water rights
Landowners' right to have their land in its natural condition held in place from the
sides by adjoining land so that it will not fall away - ANSWER-lateral support
Absolute right of the property owner to have his or her land supported from beneath
its surface - ANSWER-subjacent rights
Rights to the natural resources, such as minerals, oil, and gas below the surface -
ANSWER-subsurface rights
Written description of a particular parcel of land identifying it as precisely as possible
- ANSWER-legal description
Professional measurement of a tract of land with its boundaries, contents, and
location relative to other property - ANSWER-survey
Survey reference mark made on a monument indicating a known location and
elevation - ANSWER-benchmark
Oldest method used to describe real property - ANSWER-Metes and bounds
Point from which a metes and bounds survey begins - ANSWER-point of beginning
Grid of square, each six miles by six miles (36 square miles) - ANSWER-township
Subdivision map showing the location and boundaries of lots, street rights-of-way,
project name, and easements - ANSWER-plat
Single parcel of land within a subdivision - ANSWER-lot
Contiguous group of lots generally bounded by man-made features, such as streets
or natural features, such as creeks - ANSWER-block
Tom and Sarah have decided to sell their home. Which of the bundle of rights gives
them the right to sell their property?
a. Right of enjoyment
b. Right of possession
c. Right to transfer
d. Right to use - ANSWER-c. right to transfer
The right of transfer gives a property owner the right to dispose of the property in any
way permitted by law
What is the commonality of air rights, surface rights, and subsurface rights?
a. Bundle of rights
, b. Contracts
c. Land
d. Personal property - ANSWER-c. land
Land includes the surface, limited quantities of airspace above the surface, and the
materials and minerals beneath the surface (subsurface).
Of the following, which would not be considered permanently attached and therefore
is not real property?
a. Ranch style, 3-bedroom, 2-bath home
b. A crop of wheat ready to be harvested
c. Wild red raspberry bushes
d. A recently installed skylight on the roof of a cottage - ANSWER-b. a crop of wheat
ready to be harvested
The ranch style home is an improvement and is real property. The wheat crop is
fructus industriales and is personal property. The raspberry bushes are fructus
naturales and are real property. The skylight is a permanently installed fixture on the
roof of the cottage, which is an improvement.
Which of the following statements is correct when determining whether property is
personal or real?
a. If no agreement exists between the parties, the next step is to look at the method
of attachment.
b. The adaptation of the property is the first and primary factor.
c. The intention of the parties is only a qualifier to distinguish real or personal
property.
d. The method of attachment should be the first and primary factor. - ANSWER-a. if
no agreement exists between the parties, the next step is to look at the method of
attachment.
The first and primary factor is whether an agreement exists between the parties. If
the buyers and sellers have not agreed that a particular item is included in a sale, the
next step is to look at the method of attachment.
Mike leased commercial space from Jim, for his pizza business. Mike bought and
attached a restaurant-sized pizza oven. He plans to take it to a new location upon
expiration of the lease. What is the status of the oven at the end of the lease?
a. As an attached fixture, the oven is real property belonging to Jim.
b. The oven is a trade fixture belonging to Jim, so he can leave it for the next tenant
or remove it.
c. The oven is Mike's personal property, and he must remove the oven even if it
means damaging the unit.
d. Since the oven is a trade fixture, Mike may remove it as long as he does not
damage the space - ANSWER-d. since the oven is a trade fixture, mike may remove
it as long as he does not damage the space.
