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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Massachusetts State Portion | 33% | - Fair Housing and Consumer Protection
|
| Topic 2: National Portion | 67% | - Agency Relationships and Duties
|
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NEW QUESTION # 31
A buyer and seller agreed upon a selling price for a property and both signed a written agreement. As part of the contract, the buyer reserved the right to cancel the sale if the buyer's house, which was on the market, did not sell within 30 days. This contract is
Answer: D
Explanation:
Comprehensive and Detailed Explanation (150-250 words):
An executory contract is one in which one or more terms remain to be performed. In this case, although the purchase agreement is signed, the buyer's performance is contingent upon selling their home within 30 days.
Until that contingency is satisfied, the contract remains executory.
A (executed contract): would mean all terms have been performed.
B (unilateral contract): involves only one party making a promise, e.g., an option. This is bilateral.
D (implied contract): arises by conduct, not by a written agreement.
Thus, the correct answer is C: executory contract.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Contracts; Executory vs. Executed Contracts.
NEW QUESTION # 32
How many hours of approved continuing education must a Massachusetts real estate licensee ordinarily complete during each license term to maintain an active license?
Answer: D
Explanation:
The correct answer is C, 12 hours. Massachusetts requires brokers and salespersons who wish to renew in active status to complete twelve hours of Board-approved continuing education during each license term.
The Board currently explains that the twelve-hour requirement applies for each two-year licensing period. A licensee who does not complete the required continuing education can renew in inactive status, but an inactive licensee may not actively practice real estate brokerage. The Board also explains that completing only part of the twelve-hour curriculum is insufficient to maintain active status.
The approved curriculum is structured around six different two-hour modules, totaling twelve hours.
Prelicensing education is distinct and cannot simply be substituted for the continuing-education requirement.
Massachusetts attorneys in good standing have specific exemptions under Board rules, but ordinary brokers and salespersons must satisfy the continuing-education requirement.
Study Guide Reference: Massachusetts License Law - License Renewal and Continuing Education.
NEW QUESTION # 33
What is the maximum ordinary security deposit a Massachusetts residential landlord may require?
Answer: D
Explanation:
The correct answer is B, One month ' s rent. Massachusetts General Laws Chapter 186, 15B limits an ordinary residential security deposit to no more than one month ' s rent.
A landlord may also generally collect first month ' s rent, last month ' s rent in advance, and the actual cost of purchasing and installing a lock and key, subject to applicable requirements. These permitted charges should not be confused with the security-deposit amount itself.
Massachusetts regulates security deposits unusually strictly. Failure to comply with segregation, receipt, accounting, interest, deduction, or return requirements can expose a landlord to significant liability.
Since August 1, 2025, Massachusetts also separately limits who may be required to pay residential broker fees: the party who actually hires the broker or salesperson bears that fee. A landlord cannot simply disguise an impermissible fee as an additional security payment.
Study Guide Reference: Property Management - Security Deposits and Residential Tenancies; M.G.L. c.
186 15B.
NEW QUESTION # 34
The Massachusetts Consumer Protection Act (M.G.L. c. 93A)
Answer: B
Explanation:
The Massachusetts Consumer Protection Act (M.G.L. c. 93A) prohibits unfair and deceptive business practices. It applies to a broad range of commercial transactions, including real estate transactions. The law is designed to protect consumers from unethical practices and to ensure transparency and fairness in the marketplace.
This act does not specifically apply to homeowners selling without a broker, nor does it protect tenants from personal property disputes or only from deceptive practices in landlord-tenant law. It is a comprehensive law aimed at regulating the business practices of all commercial entities, including real estate professionals.
Reference: M.G.L. c. 93A; Massachusetts Real Estate Candidate Information Bulletin - Consumer Protection Law.
NEW QUESTION # 35
In a jurisdiction where the common law of agency applies, a broker has listed a home and then presented to the seller an offer from another client of the broker. The offer has been accepted. The broker has what type of agency relationship with the parties?
Answer: A
Explanation:
Comprehensive and Detailed Explanation (150-250 words):
Under the common law of agency, an agent owes fiduciary duties to the party they represent. If a broker represents a seller under a listing agreement but also brings a buyer who is their client, the broker now represents both parties in the same transaction. This creates a dual agency relationship.
Dual agency is lawful in Massachusetts only if there is full disclosure and written informed consent from both parties. Without disclosure, it would be an undisclosed dual agency, which is illegal.
A: Incorrect - the broker does represent the buyer.
B: Facilitation is a non-agency relationship, but that's not the case here.
C: Buyer is not a sub-agent of the seller; they are a client.
Correct answer: D: dual agency.
Reference: Massachusetts Real Estate Salesperson Candidate Handbook - Agency Law; 254 CMR 3.00.
NEW QUESTION # 36
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