Oregon PM Class

Question 1

Which best describes the contract element of consideration?

Answer 1

Consideration is something of value given by one party in exchange for something of value from another party.

Question 2

True or false: The Statute of Frauds requires that all real estate matters be in writing, except for a lease of one year or less.

Answer 2

True

Question 3

An express contract is:

Answer 3

Expressed by words, either oral or written

Question 4

An implied contract is:

Answer 4

One deduced from the actions of the parties

Question 5

All written contracts are ___________ contracts

Answer 5

Express

Question 6

Name one type of conduct or behavior that can make an otherwise valid contract voidable

Answer 6

Fraud in the execution
Misrepresentation
Actionable statements of opinion
Concealment
Duress
Undue influence
Mutual mistake

Question 7

True or False: When a contract is entered into because a party relied on a misrepresentation, the contract is voidable at the option of the party to whom the misrepresentation was made

Answer 7

True

Question 8

An offer can be terminated by

1. rejection by the offeree.
2. a counter offer.
3. revocation by the offeror

Answer 8

1, 2, and 3

Question 9

A contract created to pursue an illegal objective is

Answer 9

Void

Question 10

“An agreement between competent parties upon legal consideration creating legally enforceable duties and obligations” is a definition of

Answer 10

A contract

Question 11

When the parties to a contract have fully performed the terms, the contract is properly described as

Answer 11

Executed

Question 12

Coercion and duress were applied upon Albert in a contract with Roger. The contract is:

Answer 12

Voidable at the option of Albert

Question 13

A contract that results from neither a written nor oral agreement, but from the actions of the parties involved, is referred to as an

Answer 13

Implied contract

Question 14

Which of the following is not essential to a valid contract?
A lawful object
Competent parties
Monetary consideration
Offer and acceptance

Answer 14

Monetary consideration

Question 15

A contract that has no force or effect in law from its inception is

1. void.
2. voidable.
3. unenforceable.

Answer 15

1 and 3 only

Question 16

Which of the following is not a necessary element in the formation of a contract?
Acceptance
Performance
Consideration
Offer

Answer 16

Performance

Question 17

The key factor to a lease for a definite period is that the period is

Answer 17

Definite and fixed

Question 18

Which of the following would NOT be grounds for a landlord to terminate a commercial lease and evict the tenant?

Violation of building rules.
Unlawful use of the property.
Sale of the property.
Noncompliance with health code.

Answer 18

Sale of the property

Question 19

A court-enforced order removing a lessee is also known as

actual eviction.
surrender.
constructive eviction.
specific performance.

Answer 19

actual eviction

Question 20

True or False: An Option to Renew prolongs an existing and the Option to Extend creates a new lease

Answer 20

False

Question 21

The assignment of a lease with an option to purchase

will transfer the option to the assignee.
is voidable by the landowner.
is prohibited by the Statute of Frauds.
will cause the option to become unenforceable.

Answer 21

will transfer the option to the assignee

Question 22

A lease for less than one year

can be oral.
must be in writing.
can be oral, but must be reduced to writing within 30 days.
is unenforceable under the statute of frauds.

Answer 22

can be oral

Question 23

Which is NOT a necessary element of a lease?

The amount of rent.
The parties to the lease.
An option to purchase.
The length or term of the lease.

Answer 23

An option to purchase

Question 24

The terms of a written lease can be changed by

oral agreement between the parties.
verbal agreement between the parties in a presence of a witness.
an addendum or other written agreement signed by all parties to the lease.
implication.

Answer 24

an addendum or other written agreement signed by all parties to the lease.

Question 25

Your brother built and owns a building on land owned by you. You gave your brother a

gross lease.
fee lease.
net lease.
ground lease.

Answer 25

ground lease

Question 26

The willful destruction of any part of the land which would injure or prejudice the landlord’s reversionary right is called:

obsolescence.
waste.
condemnation.
unlawful use of property.

Answer 26

waste

Question 27

____________ terminates a lease?

Escalation clause.
Mutual consent.
Sale of the property.
Death of landlord or tenant.

Answer 27

Mutual consent.