Texas Promulgated Contract Forms & Addenda Final Exams (Solved) 100% correct

Texas Promulgated Contract Forms & Addenda Final Exams (Solved) 100% correct

Which of the following is an example of a Bilateral contract?

{{Correct Ans- A Promise in exchange for a promise - Purchase Contract.

Unilateral Contracts - Listing Agreement, Buyer's Rep, Option Contract

Who is responsible for filling in the effective date, who, when & what?

{{Correct Ans- Broker. Between the buyer and the seller, The date on which the communication was made. The date of initialing and signing of the parties. The last party to initial/Sign fills in the day. Broker. Last party to accept must communicate back to other party & fill in the date

What is a legal proceeding brought by a party to a contract against another party to compel action called for in the agreement?

{{Correct Ans- Breach of a contract, one-party defaults, sues for specific performance, seek other relief - arbitration, mediation, injunction to sue for compensatory Damages.

If a seller fails to provide the buyer with the seller's disclosure of property condition as required by Section 5.008 of the Texas Property Code, what is the status of the purchase contract?

{{Correct Ans- Voidable at the option of the buyer. Voidable by buyer any time prior to closing and the earnest money will be refunded to the buyer.

Which term identifies the substitution of a new contract for an existing contract?

{{Correct Ans- Novation

When using a Power of Attorney to transfer title to real property?

{{Correct Ans- Attorney-in-fact - Legal description and the subject of the authority

Who must convey to the principal all known information that would affect the principal's decision to accept or reject offers?

{{Correct Ans- Licensee - the listing agent/selling agent

When a legally enforceable promise is exchanged for a legally enforceable promise?

{{Correct Ans- It is a Bilateral Contract.

If the seller has already sent a counteroffer to a prospective buyer and then receives another offer that is even better, the seller:

{{Correct Ans- Withdraw the counteroffer first then consider new offer

Which law requires the contract for real property to be in writing and signed to be enforceable?

{{Correct Ans- Statute of Frauds

To have a valid real property contract, something of value must be exchanged. This is called:

{{Correct Ans- Consideration

When may a potential purchase's offer to buy real estate be withdrawn?

{{Correct Ans- at any time before it's accepted

Which of the following is NOT addressed by a TREC-promulgated contract?

{{Correct Ans- Lease with an option to purchase. Lease purchase - new Condo contract

When is a financing addendum not required?

{{Correct Ans- When the buyer pays in cash. When third financing addendum is waived