Humber/Ontario Real Estate Course 2 Exam Practice

Buyer Jaswant wants the seller to assure the condition of a winterized pool in the offer. What clause is used?

1. An acknowledgment clause

2. A covenant/promise clause

3. A direction/consent clause

4. A representation/warranty clause

5. A refundable clause

6. Escrow arrangement clause

The correct answer is: An acknowledgment clause

In this scenario, the correct answer is "An acknowledgment clause" because it is commonly used when the buyer wants the seller to assure the condition of a specific element in the property, such as a winterized pool. An acknowledgment clause typically requires the seller to acknowledge a specific fact or condition related to the property in the offer. The other options can be briefly explained: - A covenant/promise clause: This clause is used to outline specific promises or agreements between parties in a contract. - A direction/consent clause: This clause specifies how certain decisions or actions should be made by one of the parties. - A representation/warranty clause: This clause includes statements made by the seller regarding the property's condition, often used to provide assurances to the buyer. - A refundable clause: This clause outlines conditions under which a payment can be refunded. - Escrow arrangement clause: This clause pertains to the deposit of funds or documents with a neutral third party until specific conditions are met.