Commercial Modular Practice Test
Questions With Correct Solutions.
Effective 01/01/20003, the name of the transportable structure known as a "Commercial Coach" was
changed to which one of the following names? - Answer Commercial Modular.
A person who knowingly violates any provision of the Health & Safety Code (or rules and regulations
issued pursuant thereto) is subject to which consequences? - Answer Misdemeanor, 30 days in county
jail, and $2,000 fine.
Jurisdiction regarding the construction of commercial coaches and Mh-Units not subject to the National
Manufactured Housing Construction & Safety Act of 1974 shall be under: - Answer HCD rules and
regulations
After 1958, all commercial modulars & special purpose commercial modulars sold, rented and leased
within CA shall have what affixed to it as evidence of compliance with departmental regulations
(structural, fire, safety, plumbing, heating, etc.)? - Answer A department insignia
Upon receiving an application for an occupational license, the department shall have how many days to
review (for completeness or errors)? - Answer 7 days
After receiving a completed application, the department may/must...? - Answer Issue a temporary
permit pending further investigation of the application or deny/issue a permanent license within 120
days of receipt of application.
A licensee relocating, eliminating, or adding a place of business must notify the department of such
change in what manner? - Answer Within 10 days prior to the effective date of the change.
When a salesperson decides to change employment, they must take the following steps: - Answer
Notify the department within 10 days after changing employment and apply to the department for a
replacement license.
,Failure to renew a license before its expiration date results in? - Answer Automatic cancellation of the
license.
Application for renewal of a salespersons license may not be made more than how many days prior the
expiration date? - Answer 90 days
Under what circumstances will a licensee be subject to a penalty? Of what amount? - Answer A 50%
penalty will be added to the renewal fee, if the renewal application/fee is not postmarked/received by
midnight of the last day of the 24th month following issuance of the temporary permit.
Does an agent have a duty to disclose any direct interest they might acquire as a result of the sale? If so,
what type of interest does this refer to? - Answer Yes- where the interest acquired is by blood, due to a
business structure, or any type of special relationship.
A licensee shall not advertise the amount of the down payment/deposit unless... - Answer It is clearly
identified in type size not less than 1/2 the type size of the surrounding text.
A licensee must present to the seller all offers to purchase/lease a building that are: - Answer Received
prior to the preparation of the purchase documents or lease agreement.
Unless otherwise specified by law, licensees are required to keep their business records for how long? -
Answer At least 3 years.
When a licensee that has been notified of a possible law/regulation violation fails to take appropriate
action, the department may do what? - Answer Conduct an investigation & institute administrative or
legal action to secure compliance.
Expired 90 day certificate holders shall do what? - Answer Surrender the expired certificate to the
department within 10 days of expiration
OR
Submit expired certificate to the department along with sales person application within 3 months of
expiration along with proof of completion (of an education course & exam).
,True or False: ComModulars sold or used within CA shall be subject to annual registration with the
department, and payment of registration fees where installed on foundation system. - Answer FALSE: If
a unit is installed, it is no longer under the jurisdiction of the department.
Which of the following statements are true regarding commercial modulars installed (pursuant to
18551(a)):
A) They immediately become subject to registration with the department if removed from its
foundation.
B) They immediately become subject to registration with the department upon removal from foundation
unless being removed for the purpose of repair, dismantling or like reinstallation. 18075.5(b)
C) Upon removal from foundation system the owners have a grace period of 30 days to determine
whether to have the unit subject to department registration or local property titling.
D) None of the above. - Answer b. They immediately become subject to registration within the
department upon removal from foundation, unless being removed for the purpose of repair,
dismantling, or like reinstallation.
Manufactured homes, commercial modulars, or truck campers leased or owned by the United States,
states, political subdivisions, or foreign governments are: - Answer Subject to registration
requirements, but are exempt from registration fees.
Registration of ComModulars previously registered in another state is due: - Answer 20 days after entry
into California (considered late after 40 days)
All vehicle license fees collected by the department are...? - Answer Deposited in the General Fund of
the State Treasury
In what way may title in a commercial modular be held? - Answer Joint tenants, Tenants in common,
Community property, Community property with right of survivorship.
Where the word "and" separates tenants in common title holders... - Answer Each tenant is limited to
transferring of encumbering his or her interest only
AND
All tenants must sign in order to sell and/or encumber full interest in the property.
, Where the word "or" separates tenants in common title holders... - Answer Any of the owners may sell
the entire property
AND
The signatures of all tenants are needed to encumber property.
The following statements are true regarding holding title in joint tenancy:
A) Upon the death of a joint tenant, his or her interest passes by will to the next of kin.
B) The signature of each joint tenant is required to sell or encumber the manufactured home,
commercial modular.
C) The signatures of a majority of the joint tenants are necessary to encumber or sell the property.
D) Upon the death of a joint tenant, that interest goes to the surviving joint tenants.
E) B & D.
F) A & C. - Answer B & D
The signature of each joint tenant is required to sell/encumber the structure AND upon the death of a
joint tenant, that interest goes to the surviving joint tenant(s)
With respect to any individual owner, he or she may register title... - Answer In the true name of the
individual owner
AND
In the complimentary/professional titles added to the true name (only if the individual is commonly
referred to as such).
Where the commercial modular is part of a conservatorship or guardianship, the following holds true:
A) Title to the commercial coach cannot be registered in the name of the conservatorship or
guardianship.
B) Title shall not be registered in the name(s) of the conservatee or ward.
C) Title shall be registered in the name of the person(s) designated as conservator or guardian.
D) Where more than one conservator or guardian, to encumber or transfer ownership of the commercial
coach requires the signature of all the conservators and guardians.
E) All of the above. - Answer E) All of the above
Questions With Correct Solutions.
Effective 01/01/20003, the name of the transportable structure known as a "Commercial Coach" was
changed to which one of the following names? - Answer Commercial Modular.
A person who knowingly violates any provision of the Health & Safety Code (or rules and regulations
issued pursuant thereto) is subject to which consequences? - Answer Misdemeanor, 30 days in county
jail, and $2,000 fine.
Jurisdiction regarding the construction of commercial coaches and Mh-Units not subject to the National
Manufactured Housing Construction & Safety Act of 1974 shall be under: - Answer HCD rules and
regulations
After 1958, all commercial modulars & special purpose commercial modulars sold, rented and leased
within CA shall have what affixed to it as evidence of compliance with departmental regulations
(structural, fire, safety, plumbing, heating, etc.)? - Answer A department insignia
Upon receiving an application for an occupational license, the department shall have how many days to
review (for completeness or errors)? - Answer 7 days
After receiving a completed application, the department may/must...? - Answer Issue a temporary
permit pending further investigation of the application or deny/issue a permanent license within 120
days of receipt of application.
A licensee relocating, eliminating, or adding a place of business must notify the department of such
change in what manner? - Answer Within 10 days prior to the effective date of the change.
When a salesperson decides to change employment, they must take the following steps: - Answer
Notify the department within 10 days after changing employment and apply to the department for a
replacement license.
,Failure to renew a license before its expiration date results in? - Answer Automatic cancellation of the
license.
Application for renewal of a salespersons license may not be made more than how many days prior the
expiration date? - Answer 90 days
Under what circumstances will a licensee be subject to a penalty? Of what amount? - Answer A 50%
penalty will be added to the renewal fee, if the renewal application/fee is not postmarked/received by
midnight of the last day of the 24th month following issuance of the temporary permit.
Does an agent have a duty to disclose any direct interest they might acquire as a result of the sale? If so,
what type of interest does this refer to? - Answer Yes- where the interest acquired is by blood, due to a
business structure, or any type of special relationship.
A licensee shall not advertise the amount of the down payment/deposit unless... - Answer It is clearly
identified in type size not less than 1/2 the type size of the surrounding text.
A licensee must present to the seller all offers to purchase/lease a building that are: - Answer Received
prior to the preparation of the purchase documents or lease agreement.
Unless otherwise specified by law, licensees are required to keep their business records for how long? -
Answer At least 3 years.
When a licensee that has been notified of a possible law/regulation violation fails to take appropriate
action, the department may do what? - Answer Conduct an investigation & institute administrative or
legal action to secure compliance.
Expired 90 day certificate holders shall do what? - Answer Surrender the expired certificate to the
department within 10 days of expiration
OR
Submit expired certificate to the department along with sales person application within 3 months of
expiration along with proof of completion (of an education course & exam).
,True or False: ComModulars sold or used within CA shall be subject to annual registration with the
department, and payment of registration fees where installed on foundation system. - Answer FALSE: If
a unit is installed, it is no longer under the jurisdiction of the department.
Which of the following statements are true regarding commercial modulars installed (pursuant to
18551(a)):
A) They immediately become subject to registration with the department if removed from its
foundation.
B) They immediately become subject to registration with the department upon removal from foundation
unless being removed for the purpose of repair, dismantling or like reinstallation. 18075.5(b)
C) Upon removal from foundation system the owners have a grace period of 30 days to determine
whether to have the unit subject to department registration or local property titling.
D) None of the above. - Answer b. They immediately become subject to registration within the
department upon removal from foundation, unless being removed for the purpose of repair,
dismantling, or like reinstallation.
Manufactured homes, commercial modulars, or truck campers leased or owned by the United States,
states, political subdivisions, or foreign governments are: - Answer Subject to registration
requirements, but are exempt from registration fees.
Registration of ComModulars previously registered in another state is due: - Answer 20 days after entry
into California (considered late after 40 days)
All vehicle license fees collected by the department are...? - Answer Deposited in the General Fund of
the State Treasury
In what way may title in a commercial modular be held? - Answer Joint tenants, Tenants in common,
Community property, Community property with right of survivorship.
Where the word "and" separates tenants in common title holders... - Answer Each tenant is limited to
transferring of encumbering his or her interest only
AND
All tenants must sign in order to sell and/or encumber full interest in the property.
, Where the word "or" separates tenants in common title holders... - Answer Any of the owners may sell
the entire property
AND
The signatures of all tenants are needed to encumber property.
The following statements are true regarding holding title in joint tenancy:
A) Upon the death of a joint tenant, his or her interest passes by will to the next of kin.
B) The signature of each joint tenant is required to sell or encumber the manufactured home,
commercial modular.
C) The signatures of a majority of the joint tenants are necessary to encumber or sell the property.
D) Upon the death of a joint tenant, that interest goes to the surviving joint tenants.
E) B & D.
F) A & C. - Answer B & D
The signature of each joint tenant is required to sell/encumber the structure AND upon the death of a
joint tenant, that interest goes to the surviving joint tenant(s)
With respect to any individual owner, he or she may register title... - Answer In the true name of the
individual owner
AND
In the complimentary/professional titles added to the true name (only if the individual is commonly
referred to as such).
Where the commercial modular is part of a conservatorship or guardianship, the following holds true:
A) Title to the commercial coach cannot be registered in the name of the conservatorship or
guardianship.
B) Title shall not be registered in the name(s) of the conservatee or ward.
C) Title shall be registered in the name of the person(s) designated as conservator or guardian.
D) Where more than one conservator or guardian, to encumber or transfer ownership of the commercial
coach requires the signature of all the conservators and guardians.
E) All of the above. - Answer E) All of the above
