Chapter Twelve Pt. 4
A real estate transaction
A consumer may file a Transaction Recovery Fund claim for a loss sustained as the result of a licensee's fraudulent act. In order to receive payment, this claim must be in connection with:
For failure to pay an assessment to the TRF
A license may be suspended without benefit of a hearing:
Does not pay the Transaction Recovery Fund assessment
A real estate license could be suspended without investigation if the licensee:
Automatic revocation of the real estate license
An award from the Transaction Recovery Fund will result in:
Real Estate Board
Claims for payment from the Transaction Recovery Fund are filed with the:
No one
Harry is a broker. He works out a deal with Larry (a developer), Darrell (a contractor), and Tony (a mortgage banker). The deal states that Harry will sell all of the houses that Darrell built on Larry's land. After that, Tony would handle the mortgages of any buyers through his bank. Harry sells three houses, then runs off with all the funds. Larry, Darrell, and Tony all file claims for payment from the Transaction Recovery Fund. Who is most likely to collect?
The claimant must have gone after any assets and property belonging to the debtor
If a judgment has been awarded to a claimant, what must the claimant do before the Board will authorize payment from the Transaction Recovery Fund?
Automatically revoke the broker's license
If a payment is made on a broker's behalf from the Transaction Recovery Fund, what action does the Board take?
The Real Estate Board
If a person wants to make a claim from the Transaction Recovery Fund, where should this claim be filed?
The license will be automatically revoked
If the Board has authorized payment from the Transaction Recovery Fund, what is the effect for the licensee who committed the misconduct?
$20,000
If the named licensee is involved in multiple transaction violations, what is the maximum that a person may collect from the Transaction Recovery Fund?
$20,000
In a single transaction, what is the maximum amount that a person can collect from the Transaction Recovery Fund due to licensee misconduct?
Filed a claim against the salesperson in a court of competent jurisdiction
Kathy the Consumer has filed a claim for payment from the Transaction Recovery Fund. The reason for the claim is to reimburse a loss sustained after a salesperson made a gross misrepresentation. In order for Kathy to collect, she must have already:
Kerra filed suit against the local Association of Realtors
Kerra the Consumer has filed a claim for payment from the Transaction Recovery Fund. Which of the following statements must be incorrect?
$20 in a two year period
New licensee applicants are required to pay into the Transaction Recovery Fund. If necessary, the Board may reassess licensees:
$400,000
The Real Estate Board can re-assess licensees if the Transaction Recovery Fund's balance falls below:
$400,000
The minimum balance of the Virginia Real Estate Transaction Recovery Fund is:
Reimburse financial losses caused by licensee misconduct
The purpose of the Transaction Recovery Fund is to:
$100,000
What is the maximum amount that can be paid from the Transaction Recovery Fund for claims against the same licensee during a two year period?
The claimant assigns his rights to the Board, to the extent of the amount of money paid by the Fund
When a claim is paid from the Transaction Recovery fund, which of the following statements is true?
An assessment from all licensees to restore the fund to the minimum balance
When the Transaction Recovery Fund balance falls below a statutory minimum, it results in:
A licensed salesperson, to recover money that his broker owes, A lender, to recover losses sustained due to a real estate agent's misrepresentation, A tenant, seeking to recover a security deposit from his landlord
Which of the following persons could file a claim for payment from the Transaction Recovery Fund?
A consumer that has been defrauded in a real estate transaction
Which of the following persons may file a claim and collect from the Virginia Transaction Recovery Fund?
A claimant may collect up to $20,000
Which of the following statements about the Transaction Recovery Fund is correct?
The Real Estate Board could withhold issuance of a new license, forever
Which of the following statements is true if a broker has repaid the amounts awarded from the Transaction Recovery Fund?
File a claim against to the licensee to recover the amount paid from the Fund
If the Board honors a claim and authorizes payment from the Transaction Recovery Fund, the claimant subrogates his rights to the Board. The Board now has the right to:
$20
If the Transaction Recovery Fund falls below a statutory minimum, licensees may be assessed to restore the Fund. What is the maximum that one licensee may be assessed during a two-year period?