Chapter 10 Vocabulary Flashcards
Binding acceptance:
A. Creates an enforceable contract between parties.
B. A claim or encumbrance that would affect or burden an owner’s title to real estate.
C. A written employment agreement that creates an agency relationship between a firm and a buyer.
D. The sale or lease of a business and the business’ goodwill, enterprise or opportunity, including a sale of the majority of assets or stocks of the business.
E. A contract used to terminate a contract for sale or agency agreement when the parties mutually agree to terminate their original agreement.
A. Creates an enforceable contract between parties. An offer is binding upon both parties only if a copy of an accepted offer is delivered to the party making the offer prior to the date established for binding acceptance.
Offer to purchase:
A. A promise made to purchase a seller’s property under certain terms.
B. A written instrument giving a person the authority to act on behalf of another.
C. The time frame granted to a foreclosed property owner during which the borrower can pay the lender in full, stop the foreclosure proceeding and keep possession of the property.
D. An unconditional promise of one person to pay a certain sum of money to another at a future specified time.
A. A promise made to purchase a seller’s property under certain terms.
Unenforceable contract:
A. A contract whereby neither party can sue the other for performance.
B. A contract that can be voided by an injured party.
C. A one-sided agreement where one party makes a promise to another and is bound by the promise.
D. A contract that contains all the essential elements and where one party could sue the other party for performance.
A. A contract whereby neither party can sue the other for performance. However, an unenforceable contract may be valid between the parties by their mutual agreement. A contract that lacks legal purpose or essential elements is a void contract.
Bump clause:
A. The law pertaining to the period during which certain actions must be brought to court or the right to sue is lost.
B. Allows an accepted offer to purchase to be bumped by another buyer if certain terms are not met.
C. A contract whereby neither party can sue the other for performance.
D. A classification of property ownership in Wisconsin.
B. Allows an accepted offer to purchase a home to be bumped by another buyer if certain terms are not met.
Specific performance:
A. An action brought by a court to force a party to carry out the terms of a contract.
B. A process by which the physical boundaries of a property are measured.
C. When a firm that is engaged by another firm to provide brokerage services in a transaction but that is not associated with the firm.
D. The practice of representing either the buyer or the seller but not both in the same transaction.
A. An action brought by a court to force a party to carry out the terms of a contract.
Acceptance:
A. The right of a property owner to become entitled to all that a property produces, and to all that is added to it, either naturally or artificially.
B. An instrument by which some estate or interest in land is transferred from one person to another, such as a deed, mortgage, lease or contract for sale.
C. Occurs when all buyers and sellers have signed an identical copy or separate but identical copies of the offer.
D. An offer that rejects a prior offer and proposes new terms.
C. Acceptance occurs when all buyers and sellers have signed an identical copy or separate but identical copies of the offer.
Equitable title:
A. A claim on both real and personal property owned by an individual.
B. Common elements of the condominium that are identified in the declaration or plat as reserved for the exclusive use of one or more unit owner.
C. The right to obtain absolute ownership of a property when legal title is held in another’s name.
D. The right held by a property owner to lease, sell or will the property away.
C. The right to obtain absolute ownership of a property when legal title is held in another’s name.
Guaranteed sale:
A. An action brought by a court to force a party to carry out the terms of a contract.
B. A court order instructing the officer of the court to carry out the decision of the court.
C. A market for the purchase and sale of existing mortgages.
D. An agreement between a firm and a seller where the firm will purchase the seller’s property at a predetermined price if the property does not sell during the listing contract.
D. An agreement between a firm and a seller where the firm will purchase the property at an agreed upon price if the property does not sell during the term of the listing. Guaranteed sales are legal.
Business days:
A. Exclude Saturdays, Sundays any legal public holiday under Wisconsin or federal law, and any other day designated by the president such that the postal service does not receive registered mail or make regular deliveries on that day.
B. Saturday and Sunday.
C. Small business holidays.
D. All calendar days.
A. Deadlines expressed as a specific number of “business days” exclude Saturdays, Sundays any legal public holiday under Wisconsin or federal law, and any other day designated by the president such that the postal service does not receive registered mail or make regular deliveries on that day.
Survey:
A. A process by which the physical boundaries of a property are measured.
B. Authorized by statute or state law.
C. An insurance policy that protects the insured against loss or defects that may occur in the title.
D. Grants permission to deviate from a zoning restriction.
A. A process by which the physical boundaries of a property are measured.
Right of first refusal:
A. The rights that govern lakes and running waters, such as rivers and streams.
B. The practice of channeling home seekers to or away from certain areas.
C. The right of a person to have the first opportunity to purchase or lease real property.
D. A court action intended to establish the title to a particular property where there is a cloud on title.
C. The right of a person to have the first opportunity to purchase or lease real property.
Delivery:
A. The actual receipt of a document.
B. A component of binding acceptance.
C. The right held by a property owner to lease, sell or will the property away.
D. The reversion of property to the state or county as provided by state law in cases where a decedent dies intestate and there are no heirs.
B. A component of binding acceptance. Delivery can occur by fax, mail, commercial delivery, email or personal delivery.
