Arizona 6-Hour Contract Writing Course Practice Exam - Prep & Study Guide

Session length

1 / 20

Is it legal for Janelle to write into her buyer-broker agreements that the buyers are obligated to buy a house within the contract term?

No, the contract doesn't create an obligation for the buyers to make a purchase.

The correct answer is that it is not legal for Janelle to write into her buyer-broker agreements that the buyers are obligated to buy a house within the contract term because contracts in real estate should reflect a mutual agreement and understanding of the parties involved. A buyer-broker agreement typically establishes the relationship and duties between the buyer and the broker, such as the broker's duty to find suitable properties for the buyer. However, forcing a buyer to purchase a home outright contradicts the nature of these agreements, which are meant to empower buyers with the freedom to choose without the pressure of an obligatory purchase.

Enforcement of such a clause would likely render the contract unenforceable as it contradicts common legal principles surrounding contract law, where a valid contract must have mutual assent and cannot impose unfair conditions on one of the parties. Moreover, buyers retain the right to make decisions regarding their purchases without being bound by an obligation steering them towards a specific outcome.

The other options miss this crucial legal context surrounding buyer-broker agreements and the freedom of choice they should provide to buyers. For instance, the concept of an exclusive right-to-buy agreement still prioritizes the buyer's autonomy, disproving the notion that a buyer could be mandated to purchase. Additionally, J

Get further explanation with Examzify DeepDiveBeta

Yes, if the contract is an exclusive right-to-buy agreement.

As long as Janelle performs to the contract, she is entitled to a commission.

Yes, Janelle may write anything into the contract that she wants.

Next Question
Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy