DBPR Consumer Protection 2 — Questions and Answers
Question 1: What must a Florida real estate professional disclose to a buyer regarding known property defects?
- All known material defects that could affect the property's value or desirability (Correct answer)
- Only structural defects discovered in the past 5 years
- Defects only if the buyer asks specifically
- Nothing if the property is sold 'as-is'
Correct answer: All known material defects that could affect the property's value or desirability
Florida law requires real estate professionals to disclose all known material defects to buyers, protecting consumers from undisclosed problems.
Question 2: Which DBPR requirement protects consumers by ensuring licensed contractors carry financial responsibility?
- Mandatory general liability insurance and/or surety bond (Correct answer)
- Mandatory savings account with state as beneficiary
- Enrollment in a consumer protection trust
- Filing of quarterly financial statements with DBPR
Correct answer: Mandatory general liability insurance and/or surety bond
DBPR requires licensed contractors to maintain general liability insurance and/or a surety bond to ensure financial resources are available to compensate harmed consumers.
Question 3: Under Florida law, a consumer who enters a home improvement contract has how long to cancel it?
- 3 business days (Correct answer)
- 7 calendar days
- 24 hours
- 10 business days
Correct answer: 3 business days
Florida's home solicitation sales law gives consumers 3 business days to cancel a home improvement contract signed in their home.
Question 4: What action can DBPR take when an unlicensed person is found performing regulated work?
- Issue a cease and desist order and impose a fine (Correct answer)
- Only issue a warning letter
- Refer the matter exclusively to local police
- Revoke a license the person doesn't have
Correct answer: Issue a cease and desist order and impose a fine
DBPR can issue cease and desist orders and impose fines on unlicensed individuals performing work that requires a state license.
Question 5: Which of the following is a key consumer benefit of Florida's mandatory hotel and restaurant inspections by DBPR?
- Ensuring food safety and sanitation standards are met (Correct answer)
- Setting maximum prices for accommodations
- Guaranteeing quality of service ratings
- Requiring disclosure of all ingredients
Correct answer: Ensuring food safety and sanitation standards are met
DBPR's Division of Hotels and Restaurants conducts inspections to enforce food safety and sanitation standards, directly protecting public health.
Question 6: What information is publicly available about DBPR licensees on the myfloridalicense.com website?
- License status, expiration date, and any disciplinary history (Correct answer)
- Personal home addresses and financial records
- Social Security numbers and criminal backgrounds
- Only current license status
Correct answer: License status, expiration date, and any disciplinary history
Consumers can look up a licensee's license status, expiration date, and disciplinary history on the DBPR public license search portal.
DBPR Consumer Protection 2
What must a Florida real estate professional disclose to a buyer regarding known property defects?