BOMA LAW AND RISK MANAGEMENT EXAM
QUESTIONS AND VERIFIED ANSWERS
100 EXAM QUESTIONS AND ANSWERS
1-10: General BOMA Law and Risk Management
1. What does BOMA stand for?
o BOMA stands for the Building Owners and Managers Association.
2. What is the primary focus of BOMA Law?
o BOMA Law focuses on legal issues surrounding the ownership and
management of commercial real estate properties.
3. What is risk management in the context of property management?
o Risk management in property management involves identifying, assessing,
and mitigating risks associated with property ownership and operations.
4. What are the primary types of insurance relevant to property managers?
o Property insurance, liability insurance, and workers' compensation insurance.
5. Why is it important for property managers to understand local, state, and
federal laws?
o To ensure compliance with regulations and to reduce the risk of legal disputes
or penalties.
6. What is the role of a property manager in risk management?
o A property manager is responsible for minimizing risks related to property
damage, tenant disputes, safety, and legal liabilities.
7. What is an "indemnity clause" in a lease agreement?
o An indemnity clause shifts the responsibility for certain risks or damages from
one party to another.
8. What is a "waiver of subrogation" in insurance policies?
o A waiver of subrogation prevents the insurance company from pursuing legal
action against the party responsible for the damage.
9. What is the purpose of a risk assessment in property management?
o A risk assessment identifies potential hazards that could lead to property
damage, injury, or legal liabilities.
10. What are some common risks in property management?
• Fire hazards, tenant disputes, slip and fall accidents, vandalism, and compliance with
safety regulations.
11-20: Legal Aspects of BOMA
11. What is the Fair Housing Act?
• A federal law that prohibits discrimination in housing based on race, color, national
origin, religion, sex, familial status, or disability.
12. What is the role of a lease agreement in property management?
, • A lease agreement outlines the terms and conditions between the landlord and tenant,
including rent, duration, and responsibilities.
13. What is a "holdover tenant"?
• A tenant who remains in the property after the lease has expired, without the
landlord’s consent.
14. What is the purpose of the Americans with Disabilities Act (ADA) in commercial
properties?
• The ADA requires commercial properties to be accessible to people with disabilities,
including accessible entrances, bathrooms, and parking spaces.
15. What does "breach of contract" mean in property management?
• A breach of contract occurs when either party fails to fulfill their obligations under a
lease agreement.
16. What is the role of a property manager in evictions?
• The property manager assists in ensuring that the eviction process follows legal
procedures and is handled properly.
17. What are "tenant improvement allowances"?
• Money provided by the landlord to the tenant to make improvements to the rented
space.
18. What is an "assignment clause" in a lease?
• An assignment clause allows the tenant to transfer their lease to another party,
typically subject to the landlord’s approval.
19. What are "property disclosure laws"?
• Laws that require property owners to disclose known defects or hazards that could
affect the safety or value of the property.
20. What is the role of an attorney in BOMA Law?
• Attorneys help property managers navigate legal matters, ensure compliance with
laws, and represent property owners in legal disputes.
21-30: Risk Management Strategies
21. What is a safety audit in risk management?
• A safety audit evaluates a property’s compliance with safety regulations and identifies
potential hazards.
QUESTIONS AND VERIFIED ANSWERS
100 EXAM QUESTIONS AND ANSWERS
1-10: General BOMA Law and Risk Management
1. What does BOMA stand for?
o BOMA stands for the Building Owners and Managers Association.
2. What is the primary focus of BOMA Law?
o BOMA Law focuses on legal issues surrounding the ownership and
management of commercial real estate properties.
3. What is risk management in the context of property management?
o Risk management in property management involves identifying, assessing,
and mitigating risks associated with property ownership and operations.
4. What are the primary types of insurance relevant to property managers?
o Property insurance, liability insurance, and workers' compensation insurance.
5. Why is it important for property managers to understand local, state, and
federal laws?
o To ensure compliance with regulations and to reduce the risk of legal disputes
or penalties.
6. What is the role of a property manager in risk management?
o A property manager is responsible for minimizing risks related to property
damage, tenant disputes, safety, and legal liabilities.
7. What is an "indemnity clause" in a lease agreement?
o An indemnity clause shifts the responsibility for certain risks or damages from
one party to another.
8. What is a "waiver of subrogation" in insurance policies?
o A waiver of subrogation prevents the insurance company from pursuing legal
action against the party responsible for the damage.
9. What is the purpose of a risk assessment in property management?
o A risk assessment identifies potential hazards that could lead to property
damage, injury, or legal liabilities.
10. What are some common risks in property management?
• Fire hazards, tenant disputes, slip and fall accidents, vandalism, and compliance with
safety regulations.
11-20: Legal Aspects of BOMA
11. What is the Fair Housing Act?
• A federal law that prohibits discrimination in housing based on race, color, national
origin, religion, sex, familial status, or disability.
12. What is the role of a lease agreement in property management?
, • A lease agreement outlines the terms and conditions between the landlord and tenant,
including rent, duration, and responsibilities.
13. What is a "holdover tenant"?
• A tenant who remains in the property after the lease has expired, without the
landlord’s consent.
14. What is the purpose of the Americans with Disabilities Act (ADA) in commercial
properties?
• The ADA requires commercial properties to be accessible to people with disabilities,
including accessible entrances, bathrooms, and parking spaces.
15. What does "breach of contract" mean in property management?
• A breach of contract occurs when either party fails to fulfill their obligations under a
lease agreement.
16. What is the role of a property manager in evictions?
• The property manager assists in ensuring that the eviction process follows legal
procedures and is handled properly.
17. What are "tenant improvement allowances"?
• Money provided by the landlord to the tenant to make improvements to the rented
space.
18. What is an "assignment clause" in a lease?
• An assignment clause allows the tenant to transfer their lease to another party,
typically subject to the landlord’s approval.
19. What are "property disclosure laws"?
• Laws that require property owners to disclose known defects or hazards that could
affect the safety or value of the property.
20. What is the role of an attorney in BOMA Law?
• Attorneys help property managers navigate legal matters, ensure compliance with
laws, and represent property owners in legal disputes.
21-30: Risk Management Strategies
21. What is a safety audit in risk management?
• A safety audit evaluates a property’s compliance with safety regulations and identifies
potential hazards.
