A Fayetteville broker is sorting out a file issue involving earnest money receipt, deposit, and disbursement. Which statement best applies under current North Carolina law?
Correct Answer
A) When the broker receives earnest money in a fiduciary capacity, the Commission trust-money rules govern how it is deposited and handled.
When the broker receives earnest money in a fiduciary capacity, the Commission trust-money rules govern how it is deposited and handled.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An appraisal contingency allows the buyer to cancel or renegotiate the contract if the property's appraised value comes in lower than the agreed-upon purchase price. This contingency protects buyers from overpaying.
An assignment of contract transfers one party's rights and obligations under a contract to a third party called the assignee. The original party, known as the assignor, transfers their contractual position to someone who was not originally part of the agreement.
A bilateral contract is an agreement in which both parties exchange promises and are both obligated to perform, while a unilateral contract is one in which only one party makes a promise and the other party is not obligated to act.
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- → A Rhode Island licensee encounters a listing contract is drafted. What should the licensee remember?
- → In Rhode Island, a licensee submits a written purchase or lease offer to an owner. Which statement is correct?
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- → A Hawaii licensee is reviewing the commission asks to inspect escrow and trust records. What is the best answer?
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