Law of Contracts Champions Test 2025 – Complete Questions & Solutions

Master the Law of Contracts with this comprehensive Champions Test, featuring complete multiple-choice questions and verified solutions. Perfect for Texas real estate professionals, law students, and anyone preparing for contract law exams. Covers TREC-promulgated forms, contract types, property rights, lease agreements, and common law principles in a detailed, easy-to-follow format. Law of Contracts Champions Test 2025 – Complete Questions & Solutions (a) For optional use by real estate license holders (b) Drafted by the Broker Lawyer Committee (c) Promulgated by the Broker Lawyer Committee (d) Mandatory for all transactions in Texas (a) Fraud (b) Accident (c) Liability (d) Misrepresentation (a) Consumers (b) Services (c) Fixtures (d) Goods (a) Ensure that the terms are written into the contract (b) Negotiate a periodic tenancy agreement (c) Enter into a Seller’s Temporary Residential Lease (d) Enter into a Buyer’s Temporary Residential Lease (a) 14 days (b) 30 days (c) 60 days (d) 90 days (a) When the property being sold is a rental property (b) At a foreclosure sale (c) When the property has an out-of-state owner (d) When the property is sold “as is” (a) Agency law (b) Advertising law (c) Contract law (d) Consumer protection law (a) Common law (b) Contract law (c) Statutory law (d) Finance law (a) Subsurface rights (b) Air rights (c) Surface rights (d) Building codes (a) Fixture (b) Improvement (c) Personalty (d) Annexation (a) Trust (b) Cooperative (c) Timeshare (d) Testament (a) A bilateral contract (b) Binding on both parties (c) A unilateral contract (d) Illegal in Texas (a) Mutual consent (b) Consideration (c) Earnest Money (d) Legal purpose (a) Bilateral (b) Implied (c) Void (d) Valid (a) Commission (b) Competent parties (c) Assignment (d) Novation (a) Commission (b) Assignment (c) Contract (d) Novation (a) Freehold estate (b) Eminent domain (c) Variance (d) Buffer zone (a) Buffer zone (b) Variance (c) Condemnation (d) Building code (a) A neighbor’s fence that crosses a boundary onto someone else’s property (b) A farm vehicle (c) Easements (d) Landfills (a) True (b) False (a) In-zone (b) Buffer zone (c) Variance (d) Downzone (a) Pur autre vie (b) Vice caché (c) Obligation de moyens (d) Droit à réparation (a) The price is set when the lease agreement is negotiated (b) The tenant has promised to buy the property (c) The TREC-promulgated form must be used (d) The tenant has the right to match or better any offer the landlord receives to prevent the (a) Listing agreement (b) Multiple listing service (c) Lease agreement (d) Lease purchase agreement (a) Lease option agreement (b) Lease purchase agreement (c) Contract for deed (d) Assignment of lease (a) Can result in termination of the contract (b) Will result in a lawsuit against the seller (c) Will result in a lawsuit against the broker (d) Is never a legal cause for delay of closing (a) Procuring cause listing (b) Open listing (c) Multiple listing (d) Comparative market listing (a) Sublet (b) Gross lease (c) Net lease (d) Percentage lease (a) Participation loan (b) Open-end mortgage (c) Contract for deed (d) Reverse annuity mortgages (a) TREC (b) Statute of Limitations (c) Statute of Frauds (d) The Broker Lawyer Committee (a) All offers must be presented in the order in which they were received (b) Only the best offer must be presented (c) All must be presented to the seller unless the seller has instructed the broker otherwise (d) The offer with the best price and terms for the seller must be presented first (a) A rejection (b) A new offer (c) Able to be withdrawn prior to acceptance (d) All of the above (a) A suit for specific performance (b) Money damages (c) Liquidated damages (d) Mutual rescission (a) Seller financing (b) Assumption (c) Government financing (d) Third party financing (a) Factual business details (b) Statements not addressed in the contract (c) Information for which there is no TREC-promulgated addendum, lease or mandatory form (d) All of the above (a) expiration of a specified time period (b) bankruptcy of either party (c) a change in the law that renders the contract illegal (d) all of the above (a) Codicil (b) Contingency (c) Amendment (d) Addendum (a) Required for all properties (b) A federal requirement for residential property built prior to 1978 (c) A TREC requirement (d) A federal requirement under RESPA (a) On or before (b) Termination (c) Exact (d) Amended (a) True (b) False (a) Contingency (b) Amendment (c) Addendum (d) Consideration (a) Subject to (b) All things considered (c) Addenda (d) Open-ended (a) FHA (b) VA (c) Conventional (d) Any of the above (a) Seller financing (b) Loan assumption (c) Third party financing (d) Adjustable-rate mortgages (a) True (b) False (a) Upfront Mortgage Insurance Premium (b) Loan-to-Value Ratio (c) Loan limit (d) Seller contribution (a) $1,106 (b) $1,256 (c) $1,456 (d) $1,306 (a) Commission (b) Mortgage (c) Security (d) Deed (a) An attorney’s opinion of title (b) A title report (c) An abstract of title (d) A title policy (a) Attorney’s opinion of title (b) Abstract of Title (c) Sovereignty of the soil (d) General warranty deed (a) Short Sale (b) Adverse possession (c) Foreclosure (d) Condemnation (a) Intestate succession (b) Testate succession (c) Title by devise (d) Probate succession (a) Special (b) Legal (c) Informal (d) Illustrated (a) Eminent domain (b) Foreclosure (c) Adverse possession (d) Voluntary alienation (a) Apartment complexes (b) Commercial properties (c) Industrial properties (d) 1-4 family residential properties with federally related financing (a) Section 1 (b) Section 8 (c) Section 12 (d) Section 4F (a) Regulation X (b) Regulation Y (c) Regulation Z (d) Regulation A (a) Controlled Business Arrangements (b) Credits (c) Prorations (d) Partitions (a) Cannot provide food and beverages for a picnic for a single firm (b) Cannot provide an annual party for a single firm (c) Cannot provide continuing education classes unless they charge the market rate for thos (d) All of the above (a) $1,387 (b) $1,837 (c) $4,152 (d) $1,394