LAW 452 Quiz 2 | Course Paper

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Misrepresentation requires proof of intent.

A street address is a legally sufficient description.

An option has the same rights and legal effect as earnest money.

The YSP need not be disclosed unless the borrower wishes to shop around on the

mortgage terms.

In a dual agency, the real estate agent cannot breach his or her fiduciary duty to either

seller or buyer.

Title insurance will still cover a non’‘bona fide purchasers buyer.

That both spouses had their own legal counsel is a key to having a prenuptial agreement

be found to be valid.

‘Christians only” in an ad for an apartment would violate the Fair Housing Act.

A decedent who has died intestate has died with a will.

A valid escrow requires an underlying purchase contract.

Most states continue to use the common law doctrine of advancements.

A quitclaim deed does not serve to transfer title.

Tenancies in common must satisfy the four unities of time, title, interest and possession.

The EPA has a duty to address global warming issues.

Which of the following is not furnished by the seller?

a. Keys

b. Tenant list and leases

c. Loan commitment

d. Pest inspection report

e. All of the above are furnished by the seller

PDR contracts are

a. Unconstitutional development rights assignments

b. Enforceable promises by farmers to maintain their properties as farmland

c. Easements granted by farmers to permit some development on their farmlands

d. Available for developers when farmers refuse to sell their farmland

What is the difference between a fixture and a trade fixture?

a. There is no difference; both are fixtures

b. The owner is taxed on fixtures but no trade fixtures

c. A trade fixture is personal property

d. A trade fixture is real property

Who is responsible for compliance with the Americans With Disabilities Act in

commercial properties?

a. Landlord

b. Tenant

c. Local housing authorities

d. a and b

e. a, b and c

Midwest Utilities, Inc., wishes to construct a power plant near Des Moines. Its proposed

coal-fired plant will have emissions. How does Midwest obtain an emissions permit?

a. Apply to the EPA

b. No new power plants can be constructed after the 1990 Clean Air Act was passed

c. Purchase emission rights from others

d. Get a exception to bubble emissions limits

Plat maps

a. Are recorded in land records

b. Are invalid descriptions unless included in a government survey

c. Are valid with a street address

d. Are invalid forms of descriptions

Which future interest accompanies the creation of a life estate?

a. The possibility of reverter

b. Right of entry/power of termination

c. DOWT

d. Remainder

A zoning restriction

a. Can constitute a taking

b. Is never a taking if there is a legitimate public purpose

c. Cannot be an age restriction

d. None of the above

In the Anna Nicole Smith will contest, what was the basis for Ms. Smith’s recovery of

millions following a trial?

a. She was able to show that her deceased husband lacked capacity to execute a will and

she, as a surviving spouse, was entitled to her community property share

b. Tortious interference with expectation of inheritance

c. That she had engaged in undue influence

d. That there were no surviving heirs

The Doctrine of Ancient Lights

a. Exists in England

b. Exists in the United States

c. Was adopted by statute in most states

d. None of the above

Zack Peyton borrowed $398,000 from Fifth First Bank to purchase a new home. Zack

gave First Bank a mortgage on his home. The mortgage was recorded on January 3,

2004. Zack had made a down payment of $42,000. When Zack moved in, he purchased

an in-ground swimming pool from Paddock Pools for $35,000. Zack paid Paddock

$4,000 and Paddock financed the remaining amount for him, recording a mortgage for

$29,000 on February 26, 2004. Zack needed window coverings, landscape, and some

new furniture. Wells Fargo gave Zack a $150,000 home equity line of credit, secured by

a mortgage on Zack’s home for $150,000. Wells Fargo recorded the home equity credit

line mortgage on February 1, 2004. Zack, because of a bonus at work, did not draw on

the line of credit until June 10, 2005, using $25,000.

The economy went south somewhere around September 2008. The value of Zack’s

home dropped by almost 50%. Zack lost his job. He could no longer make his

payments. Fifth First Bank served Zack with a notice of foreclosure on November 1,

2008.

Suppose that Tommy Tonita purchased the Zack home at a foreclosure sale. Tommy

paid the $220,000. What type of document would Tommy receive at the foreclosure

sale?

a. A warranty deed

b. A special warranty deed

c. A sheriff’s deed

d. A bargain and sale deed

Which of the following is not required to establish an easement by implication?

a. Prior use during unity of ownership

b. Absolute necessity

c. Reasonable necessity

d. All of the above are required

A title insurance policy

a. Protects against title issues developing after the policy is issued

b. Protects against a recorded easement overlooked in a title search

c. Provides no protection for prescriptive easements

d. Protects against zoning issues

‘To A so long as she does not allow the construction of wind turbines on the property,” is

an example of

a. A fee simple determinable

b. A fee simple subject to a condition precedent

c. An executor interest

d. A fee tail

e. None of the above

12 C.F.R. Section 226 is an example of

a. Federal administrative regulation

b. Federal legislative enactment

c. State regulation

d. None of the above

Rob and Cher Morgan own a single-story home in a subdivision in Chevy Chase,

Maryland. Their neighbors who live behind them have nearly completed a renovation

and remodeling project of their home whereby they will be adding a second story and

attic space. The result is that the Morgans’ backyard is under shade most of the day.

Also, the Morgans feel their privacy is breached because, from the second story, all of

the Morgans’ backyard and windows are visible.

a. The Morgans have a right to light and could obtain an injunction against the second

story

b. The construction and renovation are a trespass to the Morgans’ light

c. Absent any state statute, the Morgans have no rights to stop the renovation and

remodeling

d. The neighbors’ renovation is a nuisance for its interference with the Morgans’ use and

enjoyment of their property

Nicholas Sharp and Barry and Rhonda Downey own adjacent tracts of land in Howard

County, Maryland. Their two adjacent lots were a single tract of land owned by Jack

Ryan, Inc., the corporate alter ego of John E. Ryan. On February 20, 1996, Ryan

divided the tract by deed, creating Lot 1 and Lot 2. Ryan then conveyed Lot 1 to Pamela

Jekel. On the same date as the conveyance of Lot 1, Ryan and Jekel executed an

easement instrument which gave Ryan access to his Lot 2 over the existing Jeep trail

located on Lot 1. Jack Ryan ended up married to Pamela Jekel and conveyed his lot to

Nicholas Sharp. Pamela Jekel Ryan conveyed her lot to Barry and Rhonda Downey.

Once the Ryans married, what happened to the easement?

a. It was terminated because of unity of ownership

b. There was no need for an easement so no rights passed with either tract

c. The easement rights continued

What happens when homeowners owe more to subcontractors than the total price they

were to pay the general contractor because the general contractor has not paid the

subcontractors and the general contractor is no longer solvent?

a. Homeowners are always exempt from paying more than they owed the general

contractor

b. The homeowners must pay the full amount due to all subcontractors

c. The homeowners cannot be liened by the subcontractors

d. Courts and states have differing standards of equity applied in resolving these issues