Law of Contracts Exam Prep Questions

Law of Contracts Exam Prep Questions and Verified Answers, 100% Guarantee Pass (Latest 2025) All of the following acts on the part of a real estate broker would constitute

steering and thus be prohibited under the Fair Housing Act EXCEPT:

• directing a prospective buyer of one minority group to work only with a

salesperson of the same minority group and to look at areas dominated by that minority group

• directing a member of one minority group away from properties located in

areas dominated by other races

• referring a member of one minority group to properties located only in

areas dominated by members of the same group

• directing a minority buyer to an expensive subdivision - Correct Answers

✅D) directing a minority buyer to an expensive subdivision

The One-to-Four Family Residential Contracts states:

• only the buyer needs to sign the contract
• licensees cannot give legal advice
• no more than four people may live on the property
• it may be used for condominiums - Correct Answers ✅B) licensees

cannot give legal advice Which listing is a non-exclusive agreement that lets the owner sell the property by themselves?

• Open listing
• Net listing
• Exclusive Agency listing
• Exclusive Right To Sell listing - Correct Answers ✅A) Open listing 1 / 3

Law of Contracts Exam Prep Questions and Verified Answers, 100% Guarantee Pass (Latest 2025) In the deed, the clause which sets forth the extent of the title being

conveyed is:

• hereditaments
• the demising clause
• the indenture clause
• the habendum clause - Correct Answers ✅D) the habendum clause

When one of the parties of a contract may legally reject it, the contract is

said to be:

• voidable
• void
• unenforceable
• valid - Correct Answers ✅A) voidable

Listing contracts obtained by a real estate salesman are considered to be:

• the salesman's own property
• his personal property
• the property of the employing broker
• negotiable instrument - Correct Answers ✅C) the property of the

employing broker The seller and buyer enter into an oral contract and a written contract concerning the same property. Which contracts will prevail in court?

• written contract
• oral contract
• the contract offering the highest price for the property 2 / 3

Law of Contracts Exam Prep Questions and Verified Answers, 100% Guarantee Pass (Latest 2025)

• the contract offering the lowest price for the property - Correct Answers

✅A) written contract A contract that has no legal effect because it does not contain all the

essential elements of a contract is:

• voidable
• unenforceable
• void
• canceled - Correct Answers ✅C) void

Which form is required for use in Texas for listing a property for sale?

• The TREC promulgated listing agreement
• The Texas Association of Realtors listing agreement
• Any form may be used with the agreement of both parties
• The form required by the broker listing the property - Correct Answers

✅B) The Texas Association of Realtors listing agreement Whose signature is required on a deed?

• grantor
• grantee
• trustee
• legatee - Correct Answers ✅A) grantor

If a listing contract ends with the sale of the property, which of the following true?

• an implied agency relationship exists for a period of time
• both principals must agree that the agency relationship has ended
• / 3