An Ohio mortgage broker asks a buyer to waive the duties and standards of care created by ORC 1322.45 in exchange for a lower fee. What effect does the agreement have on those statutory duties?
Correct Answer
C) It cannot waive or modify those duties
C. These statutory duties cannot be waived or modified. Division (C) prevents a private agreement from changing the section's duties. A discount, signature or notarization does not create an exception. Scope and exceptions: An injured buyer may seek damages under (D); punitive damages are possible, not automatic. Division (E) restricts duplicate recovery for the same acts under 1322.52. Division (B) excludes defined wholesale lenders from (A). Source: 1322.45(B)–(E); full official indexed text — https://codes.ohio.gov/ohio-revised-code/section-1322.45
Why This Is the Correct Answer
C. These statutory duties cannot be waived or modified. Division (C) prevents a private agreement from changing the section's duties. A discount, signature or notarization does not create an exception. Scope and exceptions: An injured buyer may seek damages under (D); punitive damages are possible, not automatic. Division (E) restricts duplicate recovery for the same acts under 1322.52. Division (B) excludes defined wholesale lenders from (A).
Why the Other Options Are Wrong
Option A: It removes them if the buyer signs voluntarily
Voluntary consent does not overcome the prohibition.
Option B: It reduces them in proportion to the fee discount
Price does not scale down the statutory standard.
Option D: It removes them if separately notarized
Formal execution does not cure the prohibited waiver.
Exam Tip
Separate nonwaivable duties from the conditions governing remedies.
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