Arizona Real Estate License Contracts and Contract Law 2

Question 1

In Arizona, a real estate purchase contract must be in writing to be enforceable because of which legal doctrine?

Accepted Answer

Statute of Frauds

Answer

The Statute of Frauds requires contracts for the sale of real property to be in writing and signed to be enforceable.

Question 2

What is the term for a contract in which only one party makes an enforceable promise?

Accepted Answer

Unilateral contract

Answer

A unilateral contract involves a promise by only one party that is accepted through the performance of the other party.

Question 3

A buyer signs a purchase offer but dies before the seller accepts it. What is the status of the offer?

Accepted Answer

The offer terminates

Answer

The death of the offeror before acceptance terminates the offer automatically.

Question 4

Which element is NOT required for a valid real estate contract in Arizona?

Accepted Answer

Notarization of both parties' signatures

Answer

Notarization is not required to form a valid purchase contract, though offer, acceptance, consideration, capacity, and legal purpose are.

Question 5

When an offeree responds to an offer by changing the price, this response is legally considered a:

Accepted Answer

Counteroffer

Answer

Any material change to the terms constitutes a counteroffer, which rejects the original offer.

Arizona Real Estate License Practice Test