Nevada Real Estate Salesperson Exam — All Questions
13 questions
Which written disclosure does NRS 645 require a Nevada licensee to give describing the statutory duties every licensee owes?
- a.The Duties Owed by a Real Estate Licensee form✓
- b.The Consent to Act form signed by both parties
- c.The Seller's Real Property Disclosure Form
- d.The residential purchase agreement addendum
Nevada requires a licensee to provide the 'Duties Owed by a Real Estate Licensee' disclosure, which describes duties such as reasonable skill and care, disclosing material facts, and accounting for money. These duties apply whether or not the licensee represents the person as a client.
In Nevada, a licensee may act for both the buyer and the seller in the same transaction only after obtaining:
- a.A separate broker license
- b.A verbal agreement from either party
- c.Approval from the county recorder
- d.The written Consent to Act from both parties✓
Nevada requires a licensee to obtain the written 'Consent to Act' from both the buyer and the seller before acting for both in the same transaction. When acting for both, the licensee may not disclose one party's confidential information, such as their negotiating position, to the other.
The 'Duties Owed by a Nevada Real Estate Licensee' form prepared by the Division must be given by a licensee acting as an agent:
- a.Only to the party the licensee represents
- b.To each party the licensee represents and to each unrepresented party✓
- c.Only to the buyer, because the seller signs the listing agreement
- d.To the Division within 10 days after the transaction closes
A licensee acting as an agent must provide the appropriate Division-prepared form to each party for whom the licensee is acting as an agent and to each unrepresented party to the transaction. The Division prepares separate forms for single representation, for representing more than one party, and for assigned licensees. Cite: NRS 645.252(3); NRS 645.193.
A Nevada licensee discloses that she will be acting for both the buyer and the seller. Before continuing she must obtain:
- a.Oral consent from both parties, noted in the licensee's file
- b.Consent from whichever party is paying the commission
- c.Approval from the Real Estate Division before closing
- d.Written consent from each party for whom she is acting✓
A licensee who discloses that he or she is acting for more than one party must obtain the written consent of each party for whom the licensee is acting before continuing to act as an agent. That consent is given on the Division's Consent to Act form. Cite: NRS 645.252(1)(d).
Which item must appear in the written consent a Nevada licensee obtains to act for two parties with adverse interests?
- a.A statement that a party is not required to consent✓
- b.A promise that neither party will learn the other's price
- c.A statement that the commission will be reduced by half
- d.A waiver of the licensee's duty to present all offers
The written consent must describe the transaction, state that the licensee is acting for parties with adverse interests and therefore has a conflict of interest, state the one-year confidentiality promise, state that a party is not required to consent, and state that consent is given without coercion. Cite: NRS 645.252(1)(d)(1)-(5).
How long must a Nevada licensee keep a client's confidential information confidential?
- a.Until the transaction closes and the deed is recorded
- b.For 6 months after the brokerage agreement ends
- c.For 1 year after the agreement ends✓
- d.Forever, under every circumstance without exception
A licensee who entered into a brokerage agreement may not disclose confidential information relating to the client for 1 year after the agreement is revoked or terminated, unless ordered by a court of competent jurisdiction or given the client's written permission. Cite: NRS 645.254(2).
A Nevada broker assigns two licensees from her own brokerage, one to the buyer and one to the seller in the same sale. In that situation:
- a.Each licensee must still obtain written consent from both parties
- b.The licensees are not required to obtain that written consent✓
- c.The broker must withdraw from one side of the transaction
- d.The parties must sign a new brokerage agreement with the broker
When a broker assigns different affiliated licensees to separate parties, those licensees need not obtain the written consent required for acting for more than one party. Each assigned licensee may still disclose confidential client information only to the broker. Cite: NRS 645.253(1).
Which duty of a Nevada licensee may a client actually waive?
- a.Any duty, if both parties initial a written waiver
- b.Only the duty to exercise reasonable skill and care
- c.No duty may be waived under any circumstance
- d.Only the duty to present all offers, on a Division form✓
No duty set out in NRS 645.252 or NRS 645.254 may be waived, with a single exception: a client may waive the licensee's duty to present all offers by signing a waiver on a form prescribed by the Division. Cite: NRS 645.255; NRS 645.254(4).
In a suit against a Nevada licensee for failing to perform the statutory agency duties, what is the rule about what the client knew?
- a.The client's knowledge is automatically imputed to the licensee
- b.The licensee is strictly liable for any defect the client knew of
- c.The client's knowledge may not be imputed to the licensee✓
- d.The licensee's knowledge is imputed to the other broker
In an action under NRS 645.257 the client's knowledge of material facts about the property may not be imputed to the licensee, and the licensee is measured against the care a reasonably prudent Nevada licensee would exercise. Cite: NRS 645.257(2), (3)(a).
When is a Nevada licensee liable for a misrepresentation made by his own client?
- a.Whenever the client's statement turns out to be false
- b.Only if he knew it was false and did not correct it✓
- c.Only if the client made the statement in writing
- d.Never, because only the client signs the disclosure form
A licensee may not be held liable for a client's misrepresentation unless the licensee both knew the client made the misrepresentation and failed to inform the person to whom it was made that the statement was false. Cite: NRS 645.259(1).
By what point must a Nevada licensee's written disclosure of the agency relationship reach an unrepresented party?
- a.Within 24 hours after the offer is accepted
- b.At the first open house that party attends
- c.Before the close of escrow, when the escrow file is assembled
- d.No later than when that party signs any written document✓
The disclosure must be made in writing as soon as practicable, but not later than the date and time on which any written document is signed by the client or by a party not represented by a licensee. The prior disclosure must then be confirmed in a separate provision and kept in the broker's transaction file. Cite: NAC 645.637.
Every Nevada brokerage agreement that includes exclusive agency representation must contain:
- a.A definite, specified and complete termination, and both signatures✓
- b.An automatic renewal clause that runs until the client cancels
- c.A provision requiring the client to give notice to cancel
- d.A term of not more than 90 days set by the Commission
An exclusive agency brokerage agreement must set forth a definite, specified and complete termination, must contain no provision requiring the client to notify the broker of an intention to cancel the exclusive features after termination, and must be signed by both the client and the broker to be enforceable. Cite: NRS 645.320.
What must a Nevada licensee acting as an agent disclose to each party as soon as practicable?
- a.Only the commission paid by the licensee's own client
- b.Each source from which the licensee will receive compensation✓
- c.Nothing, if the payment comes from a lender or warranty company
- d.Only amounts over $500 received in a single transaction
Along with material facts about the property and any principal interest the licensee holds, the licensee must disclose each source from which he or she will receive compensation as a result of the transaction, and any change in the licensee's relationship to a party. Cite: NRS 645.252(1)(a)-(e).