Which of the Following Would Be an Invalid Restrictive Covenant

question 31

Multiple Choice

Which of the following would be an invalid restrictive covenant in a deed?

• A) A requirement that all buildings are of a farmhouse style, painted either white, yellow or gray.
• B) A requirement that all homes contain a double garage.
• C) An agreement not to sell to people of Middle Eastern descent.
• D) An agreement requiring a minimum size of 2200 square feet for homes.

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Definitions:

Horizontal Demand Curve

A graphical representation of a market where the quantity demanded changes significantly while the price remains constant.

Perfect Competitor

A theoretical economic concept where an individual firm cannot influence the market price of the good or service it produces.

Price Maker

is an entity that has control over the price of the goods or services it provides, often due to a lack of competition.

Marginal Cost

The cost incurred by producing one additional unit of a product or service, a crucial concept for optimizing production and determining pricing.