The broker has no duty or liability to the buyer/offeror in a transaction.
The delivery of marketable title is a condition precedent to performance of a contract
for the sale of land.
A PMSI in fixtures recorded before attachment will have priority over a mortgage with
an after’‘acquired property clause.
Eminent domain rights are found in the Fifth and Fourteenth Amendments.
A broker/agent has a duty to warn clients of potential issues and exposure in a
transaction.
The presence of eccentric habits will serve to establish the lack of mental capacity for a
deed.
One of the issues that helps make a prenuptial agreement valid is whether the
spouse-to-be had independent counsel.
The sub-prime mortgage market cannot be regulated except by the federal government.
Impact fees can be assessed even when there is no reason given for their need.
Title insurance is transferable to another buyer.
An escrow agent’s authority is limited to the provisions of the escrow instructions.
At common law, the landlord had no obligation to repair leased property.
Interest-only mortgages are void in many states.
Procuring cause of the sale can be based on an advertisement.
A flow’‘down clause helps the general contractor get paid.
The Riparian Theory applies only to those owning property abutting or touching the
water body.
The primary purpose of property taxes is to raise revenue for local governments.
Impact fees are not taxes or permit fees.
A locksmith was rekeying a foreclosed property when he fell six to eight feet into the
home’s basement through an opening in the floor of the house. Source One had
foreclosed on the property on October 4, 2012. Source One then conveyed the property
to Fannie Mae on November 16, 2012, but the deed was not recorded. The accident
occurred on November 24, 2012. The locksmith filed suit against Source One and
Fannie Mae to recover for the injuries. The theory of the suit is that the owner of the
home is liable for injuries to third parties from lack of repairs and failure to warn. Who
could be held liable?
a. Source One because the deed was not recorded
b. Fannie Mae because the land had been conveyed
c. They are both liable because neither owned the property
d. There is never liability to third parties for injuries in unoccupied property
A strawman transaction is used
a. By the court to sever a joint tenancy
b. By an owner to create a joint tenancy with another person and himself
c. At the risk of committing fraud
d. In domestic partnerships when marriage is prohibited
With reference to #2, suppose A has died. B
a. Is a joint tenant of 2/3 of the property
b. Is a tenant in common with 2/3 of the property
c. Is a tenant in common with ½ of the property
d. None of the above
Planned unit development is
a. The development of an entire community by a developer rather than simply a
subdivision
b. The development of a subdivision by a developer
c. The development of a subdivision by the planning or zoning board
d. None of the above
Debra Montrose is on active military duty in Afghanistan when she is notified by her
parents that she has received a foreclosure notice on her home. Which of the following
is true?
a. The foreclosure can proceed if she entered into the mortgage when she was not on
active military duty
b. The foreclosure can proceed but there can be no deficiency judgment.
c. The foreclosure cannot proceed while she is on active military duty
d. The foreclosure can proceed as long as she does not have a VA or FHA loan
What federal law introduced the buying and selling of emissions permits?
a. The Clean Air Act Amendments of 1990
b. The Air Pollution Control Act
c. The 1963 Clean Air Act
d. The buying and selling of emissions permits is not allowed under federal law
Which of the following is not an example of a use restriction?
a. Commercial buildings only
b. Single family dwellings only
c. Apartment complexes only
d. a, b and c are all use restrictions
How many prime or principal meridians are there?
a. 35
b. 32
c. 64
d. 72
Under which act was the EIS developed?
a. Clean Air Act
b. National Environmental Policy Act
c. Clean Water Act
d. Toxic Substances Control Act
e. All of the above
“To my nephew on the condition that the property is never used for a fast food
franchise” is a
a. Fee simple determinable
b. Fee simple absolute
c. Fee simple subject to a condition subsequent
d. Estate for years
In order for a security agreement to be authenticated
a. There must be a signed, written agreement
b. There can be an electronic signature
c. The debtor must also sign a financing statement
d. The security agreement must be recorded
Which of the following powers do homeowners’ associations always have?
a. Control of common areas
b. Right to enforce CC&Rs
c. Power to access fees
d. Both a and b
e. a, b and c
Emma Hartford operates a beauty salon in the basement of her home. Her home is
located in an R-1 acre in Kenmore, NY. R-1 areas do not permit the operation of a
business in homes. Emma
a. Is guilty of a felony
b. Needs to obtain a variance
c. Meets the requirements for a non-conforming use
d. Can challenge the constitutionality of the restriction
The Gardeners’ property adjoined the Jones’ property and the Gardeners planted citrus
trees along what they thought was the boundary line. The trees were planted in 1980. In
2004, the Jones decided to sell their property and a survey revealed the citrus trees were
on their property, not the Gardeners. The Gardeners’ trees were three feet into the Jones’
property. The prescriptive period in their state is 25 years.
a. The Gardeners now own the extra three feet
b. The Jones still own the extra three feet
c. The wall was a mistake and the Gardeners can gain no right from it
d. None of the above
With reference to #19, under a race-notice statute, who has title?
a. A
b. B
c. C
The following parties are involved:
Owner ‘“ Tanner Development and Construction, Inc.
Contractor ‘“ Tanner Development and Construction, Inc.
Subcontractor ‘“ Plumbing, Inc.
Supplier ‘“ Arizona Pipes, Inc.
Construction began in October, 2007. In January, 2008, Plumbing, Inc. declared
bankruptcy. Arizona Pipes had filed its preliminary notice in December (it was filed
properly and timely) and after the bankruptcy declaration recorded a lien on Tanner’s
property. Arizona Pipes wants to be paid and so does the bankruptcy trustee. Who
should Tanner pay?
The possibility of reverter requires some action on the part of the grantor to become a
present interest.
An easement by prescription can arise only if the property owner is aware of the
prescriptive use.
Noncompete clauses must be reasonable in scope to be valid.
The following sequence of events has occurred:
Day 1 ‘“ O conveys to A
Day 2 ‘“ O conveys to B (bfp)
Day 3 ‘“ B conveys to C (bfp)
Day 4 ‘“ C records
Day 5 ‘“ A records
Who has title? (Determine title for all three types of recording jurisdiction.)
Culver City required Robert Ehrlich, a developer, to pay $280,000 in land-use change
impact fees and $33,220 in lieu of meeting the art requirement of all new developments
in exchange for approval of Ehrlich’s proposed 30-unit town-home development.
Ehrlich says the fees do not advance a legitimate public purpose. Can Culver City
extract the fees?
Discuss the effect of a clause in a lease that requires the landlord to obtain the anchor
tenant’s approval before leasing space.