California — Laws of Agency & Fiduciary Duties — California Real Estate — State Law Practice Test

This California Real Estate — State Law California — Laws of Agency & Fiduciary Duties practice set has 28 practice questions based on the official exam materials, each with an instant explanation.

Sample questions

Three questions from the California — Laws of Agency & Fiduciary Duties bank with the correct answer and an explanation. The practice quiz above draws 28 questions at random from the same bank.

1. Under California's agency disclosure law, what is the correct three-step sequence an agent must follow with respect to agency relationships in a residential sale?

   • Disclose the agency form, elect the agency relationship, then confirm it in writing — Correct answer
   • Confirm the relationship first, then disclose it, then elect it at closing
   • Elect the relationship, deposit trust funds, then disclose it after closing
   • Disclose the relationship only orally and confirm it only if a dispute arises

   Explanation: California's Agency Disclosure (AD) statute (Civ. Code §§2079.13–2079.24) sets a three-step process: (1) DISCLOSE — give the statutory 'Disclosure Regarding Real Estate Agency Relationships' form (§2079.16); (2) ELECT — the agent and parties choose which relationship applies (seller's agent, buyer's agent, or dual agent); (3) CONFIRM — the chosen relationship is confirmed in writing in the purchase contract or a separate writing (§2079.17). Agency disclosure（代理关系披露）: California's mandatory disclose/elect/confirm process. Source: CA Civ. Code §§2079.14–2079.17.

   Handbook: California Laws of Agency — AD form three-step process (Civ. Code §§2079.14–2079.17)

2. California's Agency Disclosure (AD) requirements under Civil Code §2079.14 are triggered for which type of transaction?

   • Sales of residential real property of one to four dwelling units — Correct answer
   • Only the lease of agricultural land for more than 10 years
   • Only commercial buildings owned by a corporation
   • Any transaction in which no licensed agent is involved

   Explanation: The AD article applies to the sale of residential real property described in §2079.13 — historically one-to-four residential dwelling units (plus manufactured/mobile homes). The disclose/elect/confirm rules attach to these residential sales; the general agency-theory rules of Title 9 still govern other deals. Residential 1-4 units（1至4户住宅）: the core trigger for California's mandatory AD form. Source: CA Civ. Code §2079.14 and §2079.13.

   Handbook: California Laws of Agency — When the AD form is required (Civ. Code §2079.14 / §2079.13)

3. Under Civil Code §2079.14, when must the SELLER'S agent deliver the agency disclosure form to the seller?

   • Before entering into the listing agreement — Correct answer
   • Only after the buyer's offer has been accepted
   • Within three business days after the close of escrow
   • At the final walk-through immediately before closing

   Explanation: The seller's agent must provide the disclosure form to the seller BEFORE entering into the listing agreement (§2079.14). This front-loads the disclosure so the seller understands the agency relationship before committing to the listing. Listing agreement（挂牌委托协议）: the contract employing a broker to find a buyer. Source: CA Civ. Code §2079.14.

   Handbook: California Laws of Agency — AD timing, seller's agent (Civ. Code §2079.14)