The main purpose of the Uniform Commercial Code is to:
Correct Answer
A) make the law of commercial transactions in personal property uniform.
The Uniform Commercial Code was written to simplify, clarify and modernize the law governing commercial transactions and to make that law uniform from state to state; California adopted it as the Commercial Code. Its subject is personal property, covering sales of goods, negotiable instruments and secured transactions, and it does not govern conveyances of real property, which California handles through its real property statutes. The part a real estate licensee meets is the secured transactions article, used in a business opportunity sale for the security agreement and financing statement covering inventory, equipment and trade fixtures, but that is one division of the Code rather than its purpose. Requiring a writing to prove certain sales is the work of the statute of frauds, not the reason the Code exists.
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More Practice Of Real Estate Disclosures Questions
Under California law, a real estate agent owes a duty of honest and fair dealing to all parties in a transaction, not only to the agent's own client. Which provision most directly establishes this duty?
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A California-licensed salesperson uses the title 'Real Estate Consultant' on business cards and marketing materials without holding any special certification or designation. Under DRE regulations, this practice is:
Barnard made an offer to buy a vacant residence. The offer was accepted by the seller. Prior to the close of escrow, Barnard requested permission from the broker to enter and make minor repairs to the house. Which of the following is true?
Most common business structure for one individual:
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- → At a DRE administrative disciplinary hearing in California, what standard of proof must the Department meet to sustain a finding against a licensee?
- → The Transfer Disclosure Statement requires sellers to disclose various known property conditions under California Civil Code §1102 et seq. All of the following must be disclosed on the TDS EXCEPT:
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- → A California property owner in a Mello-Roos CFD discovers that the bond proceeds were mismanaged by the CFD administrator and the planned community park was never built, even though property owners have been paying the special tax for 10 years. What legal recourse does the property owner have?
- → The Real Estate Commissioner may discipline a licensee for the conduct described in Business and Professions Code §§10176 and 10177. Which of the following would NOT be grounds for disciplinary action?
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