Under a Land Sales Contract,which of the Following Is True

question 30

Multiple Choice

Under a land sales contract,which of the following is true?

• A) A third-party lender provides financing for the purchase of a piece of property.
• B) Credit is extended directly by the seller to the buyer,with the buyer not receiving a deed from the seller until the debt obligation is fully satisfied.
• C) Credit is extended directly by the seller to the buyer,with the buyer receiving a deed immediately and that will become null and void upon default.
• D) Land is sold that will not involve the use of a mortgage or deed of trust.

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Definitions:

Consequential Damages

Indirect damages that do not flow directly from the act but occur as a consequence of the initial act, often involving loss of profit or other secondary losses.

Liquidated Damages

A pre-determined sum agreed upon by parties in a contract as compensation for breach of contract, where actual damages are difficult to ascertain.

Doctrine

A principle or body of principles presented for acceptance or belief by a religious, political, scientific, or philosophic group.

Quantum Meruit

“As much as he has earned.” A quasi-contractual remedy that permits a person to recover a reasonable price for services and/or materials requested, where no price is established when the request is made.