Legal Aspects of Real Estate: Q12/Chp 29-31

Question 1

1) A subcontractor needs to serve a ________ on the appropriate parties to perfect their right to file a mechanic’s lien.
a. ten-day notice of lien rights
b. 20-day preliminary notice
c. 30-day preliminary notice
d. 90-day notice to quit

Answer 1

b. 20-day preliminary notice

Question 2

2) A mechanic’s lien becomes void if a foreclosure action is not filed within ________ after the mechanic’s lien is recorded.
a. 15 days
b. 30 days
c. 60 days
d. 90 days

Answer 2

d. 90 days

Question 3

3) An owner may prevent a mechanic’s lien from attaching to their fee interest in the property by recording and posting a ________ within ten days after they become aware of tenant-contracted improvements.
a. notice of nonresponsibility
b. preliminary notice
c. pay-when-paid provision
d. notice of cessation

Answer 3

a. notice of nonresponsibility

Question 4

4) The waiver of a subcontractor’s mechanic’s lien rights is:
a. always enforceable.
b. never enforceable.
c. only enforceable if it is a waiver and release signed by the contractor in exchange for partial or full payment of the amounts due.
d. only enforceable if obtained by force.

Answer 4

c. only enforceable if it is a waiver and release signed by the contractor in exchange for partial or full payment of the amounts due.

Question 5

5) A signed and notarized ________ is used to document a judgment lienholder’s release of a lien against a residence.
a. certificate of discharge
b. release of recorded instrument
c. automatic homestead
d. abstract of judgment

Answer 5

b. release of recorded instrument

Question 6

6) Lis pendens means:
a. pending litigation.
b. pending cancellation.
c. condemned.
d. eminent domain.

Answer 6

a. pending litigation.

Question 7

7) Recording a lis pendens is permitted in lawsuits which:
a. affect title to personal property.
b. seek recovery of only money losses.
c. seek recovery of only attorney fees.
d. affect title or the right to possession of real estate.

Answer 7

d. affect title or the right to possession of real estate.

Question 8

8) A(n) _______ is an involuntary, court-created trust imposed on the ownership of property held by an owner who acquired it through a wrongful act.
a. ordinance
b. statutory lien
c. constructive trust
d. inter vivos (living) trust

Answer 8

c. constructive trust

Question 9

9) To record a lis pendens, the lis pendens needs to:
a. identify the parties to the lawsuit.
b. give an adequate description of the real estate.
c. Both a. and b.
d. None of the above.

Answer 9

c. Both a. and b.

Question 10

10) An order _______ a lis pendens removes any restrictions sought to be imposed on title to a property.
a. hypothecating
b. imposing
c. exempting
d. expunging

Answer 10

d. expunging