Regulations | Latest 2025/2026 Exam Prep
Law - correct answeris the body of rules and principles that every member of society
must follow. It is a collection of norms and rules that allow, mandate, or forbid conduct
by both people and organizations.
The system is designed to promote safety, equity, equality, and the general welfare of
all its members. Without laws, society would be in chaos and anarchy would prevail. For
this reason, society has designed a complex set of laws that set guidelines for personal
and business conduct. It is rare for any two individuals to agree on all social issues.
Laws are not always constant. Over the years, certain laws have been proposed,
accepted, and then challenged. Fair and equitable laws generally survive the test of
time. Laws typically follow the Golden Rule, "Do unto others as you would have them do
unto you." The practice of real estate changes as new laws are passed. These laws
include lending practices, homesteads, landlords and tenants, estates, community
property, and other laws related to the practice of real estate.
Codify - correct answermeans to compile, arrange, systemize, and write the laws of a
given region into a code. Laws are codified when they are recorded, uniform, and
consistent.
The Code of Hammurabi is one of the first examples of codified law. Hammurabi was
the sixth king of Babylon and was born in 1810 B.C. What set Hammurabi apart from
other rulers was that he codified a set of laws that he published on a stone monolith
(stela) for everyone to see.
The code covered such items as theft, property damage, murder, injury, and
punishments. The importance of the Hammurabic Code is that after inscribing the law
on the stela, it became absolute and permanent, giving rise to the phrase "written in
stone."
Civil law - correct answeris the body of law imposed by the state or government for its
citizens.
Code of the District of Columbia - correct answeris the codification of the general and
permanent laws relating to the District of Columbia. [DC Code §1-101 through §51-178].
Of interest to real estate licensees are Title 42 - Real Property, Title 47 - Taxation, and
Title 6 - Housing and Building Regulations and Restrictions.
,District of Columbia Municipal Regulations (DCMR) - correct answeris the publication
and compilation of the current regulations.
Of interest to real estate licensees are Title 17, Chapters 26 (Real Estate Licenses) and
27 (Real Estate Practice and Hearings).
District of Columbia Register (DCR) - correct answergives brief information of actions of
the Council of the District of Columbia (such as resolutions and notices of council
hearings) and actions of the executive branch and independent agencies (such as
proposed and emergency rulemaking).
4 Sources of Law - correct answer(1) constitutional law,
(2) statutory law,
(3) administrative law, and
(4) common law
Constitutional law - correct answerconsists of a body of rules created by federal and
state constitutions.
The prime example of constitutional law is the United States Constitution, which is one
of the most respected and honored documents ever written.
The Bill of Rights in 1789 ratified the U.S. Constitution with the support of the original
thirteen states. The Bill of Rights is the name given to the first ten amendments made to
the original Constitution.
The Constitution is the supreme law of the land and has experienced many changes
over the nation's history. Changes to the Constitution itself take place by an amendment
ratified by two-thirds of each house of Congress and then approved by three-fourths of
the state legislatures.
The Constitution sets forth the three principal branches of the federal government,
outlines its jurisdictions, and expresses the basic rights of U.S. citizens. The powers not
delegated to the United States by the Constitution are reserved to the states. The
United States Constitution is the standard against which all other laws must be judged.
The Constitution consists of a preamble, seven original articles, and twenty-seven
amendments. Some of these amendments are of importance to property ownership.
Amendments Pertinent to Real Estate - correct answerThe First Amendment addresses
the freedom of speech and of the press. This guarantees the right to advertise property
for sale and place for sale signs on property.
The Third Amendment prohibits the government from using private homes as quarters
for soldiers without the consent of the owners.
, The Fourth Amendment prohibits the seizure of property without due process of law.
The Fifth Amendment prohibits the government from taking private property for public
use without just compensation. It serves as the basis for eminent domain in the United
States.
The Thirteenth Amendment abolished slavery and makes discrimination on the grounds
of race, color, or creed unconstitutional.
The Fourteenth Amendment provides for equal protection of the law and is the basis for
antidiscrimination laws.
Statutory law / black letter law - correct answeris written law enacted by federal and
state legislative bodies
meaning the words committed to paper that govern
statute - correct answeris a law passed by a legislature.
Congress enacts laws that affect all citizens. A state legislature enacts statutes affecting
the entire state, and city councils pass local laws (ordinances) affecting the residents of
the city.
Sometimes the federal, state, and local governments have similar laws covering the
same subject. When this occurs, the federal law usually governs a particular activity in
interstate commerce and the state law governs the same activity within the state.
bill - correct answerproposed legislation
undergoes debate, revision, and discussion before being voted on by both the House of
Representatives and the Senate. If both houses of Congress pass the bill, it goes to the
White House for the President to review. The President can sign the bill into law, veto it,
or ignore it. If vetoed, Congress can vote on it again and if two-thirds of Congress
approves the bill, it becomes a law without presidential approval.
Federal Laws Affecting the Real Estate Industry - correct answerAmericans with
Disabilities Act
CAN-SPAM Act of 2003
Clean Air Act
Clean Water Act
Community Reinvestment Act
Comprehensive Environmental Response, Compensation, and Liability Act (Superfund)
Dodd-Frank Wall Street Reform and Consumer Protection Act
Do Not Call Act
Endangered Species Act
Equal Credit Opportunity Act