Under the UPA, partnership profits are split equally.
A mortgage is a contractual or equitable lien.
A tax sale requires formal foreclosure to be valid.
Cities and towns can provide benefits for stalled developments if the cities and towns
receive benefits in exchange.
Oil and gas deposits follow clearly defined property boundaries.
Tenants in common must own equal shares of their property.
A vacation lease is a form of condominium ownership.
All new homes carry implied warranties for the protection of the buyer.
Loan workouts are the same as deeds in lieu of foreclosure.
A metes and bounds description without a beginning point is invalid.
In a lien state, the mortgagee holds title to the property.
‘I accept, but closing must be by December 31, 2010’, is not an acceptance.
The term stare decisis
a. Means let the decision stand
b. Is a term that refers to the recognition of case precedent
c. Is not used in statutory interpretation questions
d. Both a and b
The Uniform Non-Judicial Foreclosure Act
a. Eliminates the public auction in foreclosures and allows sales by brokers and listings
b. Has been adopted in the majority of states
c. Would eliminate judicial foreclosures
d. All of the above
The GOOMBYs (Get Out of My Back Yard) in Rio Linda have brought suit to have a
power plant removed from an area located just behind their back yards. The owners of
the plant want to know what right they have? Where would they look to determine their
rights?
a. Eminent domain protections in the federal constitution
b. Eminent domain protections in their state constitution
c. Case law on constitutional issues
d. All of the above
e. None of the above
What agency is responsible for enforcement of RESPA?
a. ILSFDA
b. FTC
c. HUD
d. Both a and c
On the basis of the Schmidt case and the cases cited therein, determine the
constitutional validity of the following:
a. A city ordinance requiring all-adult residences only.
b. A city zoning master plan that designates certain areas as adult-only residential areas.
c. A state statute that prohibits landlords from refusing to rent property located in
all-adult subdivisions to families with children.
What is/are an escrow agent’s responsibility when the buyer fails to deposit funds?
a. Continue reminding the buyer
b. Proceed to closing
c. Terminate the escrow
d. None of the above
The following language appears in a mortgage: “In the event the buyer is delinquent in
monthly payments for a period longer than 30 days, the full balance of the loan then due
and owing, including principal, shall become due.” The language is an example of
a. An acceleration clause
b. A balloon payment clause
c. A due’‘on’‘sale clause
d. An Anaconda clause
e. None of the above
Austin DeCoster asked the landlord to allow installation of DirecTV in his apartment.
The landlord consented. When the DirecTV representative arrived to install the
necessary equipment in Austin’s apartment, the landlord gave him access. Austin had
changed his mind about DirecTV. Which of the following is correct?
a. The landlord was not permitted to have access to Austin’s apartment
b. The landlord must always have permission to gain access to a tenant’s apartment
c. The landlord can allow access only for landlord repairs
d. None of these
What types of issues are covered in a percentage rent clause in a commercial lease?
a. The percentage of lost profits the landlord owes to the tenant
b. What types of sales are included for purposes of determining gross receipts
c. The deduction for CAM
d. An agreement to share customer lists with the landlord
Rick Morgan operates a ranch in a state that follows the prior appropriation doctrine. In
1886, his family had diverted water from the Cooley River to their ranch lands. The
effect was that other properties located below Rick’s had access to Cooley River water
only during extremely wet seasons when Rick released excessive flow. The neighbors
below Rick’s ranch maintain Rick has taken a property right and they are owed
compensation.
a. The neighbors are correct because diverting the water was a trespass
b. The neighbors are correct because water must be allocated in a prior appropriation
state
c. The neighbors are incorrect and Rick has not violated their rights
d. Both a and b
An example of a condition precedent in a real property purchase contract is
a. The statute of limitations
b. A buyer’s financing clause
c. The earnest money requirement
d. The type of deed
The Telecommunications Act
a. Is a federal law that places limits on local regulation of cell phone towers
b. Is a state law that has been declared unconstitutional
c. Permits cell phone towers to be erected without local approval
d. None of the above
X has passed away leaving two living children, A and B, and one deceased child. His
deceased child, C, had two children, D and E. X’s will provides for per capita
distribution. How should the estate be distributed?
a. A and B get 1/3 each and D and E get 1/6 each
b. A, B, D, and E get 1/4
c. A and B get 1/2
d. None of the above
Under a subject to sale in the sale of mortgaged property
a. The seller remains personally liable
b. The buyer is personally liable
c. The property is not subject to foreclosure upon default
d. None of the above
Otis Olson, the owner of two adjoining city lots, A and B, built a house on each. He laid
a drainpipe from lot B across lot A to the main sewer pipe under the alley beyond lot A.
Olson then sold and conveyed lot A to Fred Ford. The deed, which made no mention of
the drainpipe, was promptly recorded. Ford had no actual knowledge or notice of the
drainpipe, although it would have been apparent to anyone making an inspection of the
premises, having been only partially imbedded. Later, Olson sold and conveyed lot B to
Luke Lane. This deed, which likewise made no reference to the drainpipe, was also
promptly recorded. A few weeks thereafter, Ford discovered the drainpipe across lot A
and removed it. Did Ford have the right to do so?
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.
With respect to the mortgage loan from Fifth First Bank
a. Zack is the mortgagor
b. Zack is the mortgagee
c. Fifth First Bank is the mortgagor
d. None of the above
Who must file an Environmental Impact Statement (EIS)?
a. Federal agencies undertaking actions that will have an impact on the environment
b. State and federal agencies undertaking actions that will have an impact on the
environment
c. Companies that are undertaking actions that will have an impact on the environment
d. Companies, state, federal, and local agencies that will have an impact on the
environment
Wells Fargo is foreclosing on its June 2007 mortgage (recorded on June 17, 2007) on
Jordin Levin’s home because she has been in default on her mortgage with Wells Fargo
for over six months, from June 1, 2009 through December 31, 2009. Jordin had Classy
Closets install cupboards in her garage just two months prior to the foreclosure. Classy
Closets filed a financing statement on November 17, 2009. Jordin owes Classy Closets
$2,300 for the cabinets. When Classy Closets is notified of the foreclosure on January
17, 2010, Classy Closets arrives at Jordin’s home and removes the cabinets. The
removal caused some damage to the garage floor and also left some holes in the drywall
that require repair. The total cost of repair is $158. Wells Fargo says the value of the
home is reduced by $2,458 because of Classy Closets’ removal of the cabinets and the
damages.
Who has priority in the garage cabinets?
a. Wells Fargo because it was first to record
b. Classy Closets because it is a PMSI creditor
c. Neither has priority until the foreclosure is complete
d. None of the above
The GFE does not require disclosure of loan cost comparisons.
A conservation easement is a negative easement.
Suppose Tenant One’s guest was injured along with tenant one. Will Jones be liable?
Floyd Larkin made the following grant: “To my niece, Flora, for so long as she
maintains the ranch on this property.” Flora leased the property to General Motors for a
test track and no longer maintained the ranch. Floyd’s widow and sole heir sold the land
to the Beef & Cattle Company. Beef & Cattle evicted GM and GM filed suit. Who is
the rightful owner and possessor of the property?
A life estate can be transferred by will.