CH 15- Real Estate License Law – Flashcards
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Which is FALSE regarding the sale of a business opportunity?
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Most sales will include stock in trade, fixtures, and goodwill. California licensees are permitted to sell business opportunities. They must involve the sale of real property for a licensee to receive a commission. **The licensee should have a strong background in accounting and business law in addition to principles of real estate.
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Which of the following is NOT considered trust funds?
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Funds given by a seller to defray future advertising costs. A title to an automobile given as earnest money. **A deposit received by the licensee from a tenant occupying a home owned by the licensee. A promissory note to be redeemed upon acceptance of an offer.
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In California, a real estate license must be renewed every
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18 months. six years. **four years. two years.
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In California, real estate syndicates are regulated by the:
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Real Estate Investment Trust Act. **Commissioner of Business Oversight California Attorney General. CalBRE Real Estate Commissioner.
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A broker with a trust account must deposit trust funds received
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**within three business days. within two business days. within 24 hours. promptly.
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In California, Real Estate Law is enforced by
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the Attorney General. the Legislature. the District Attorney of each county. **the Real Estate Commissioner.
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When the Real Estate Commissioner wishes to proceed against a licensee for a suspected violation of real estate law, the Commissioner must first serve the licensee with
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a demurrer. **an accusation. a complaint. a finding of fact and conclusion of law.
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All transactional documentation for listings, purchase and sale agreements, property management activities, exchanges and trust account records must be retained for a period of
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one year. **three years. two years. four years.
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If a salesperson quits or is discharged by his/her broker, the broker is required to return the salespersons license certificate to the salesperson
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**within three days. immediately. within five days. within one week.
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The maximum amount that can be paid from the Real Estate Education, Research and Recovery Account on behalf of a licensee as a result of judicial action involving one claimant is
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$10,000. $20,000. **$50,000. $100,000.
