Property Management And Leases

50 Questions | Total Attempts: 144

SettingsSettingsSettings
Please wait...
Property And Casualty Quizzes & Trivia

Chapter 7 Property Management and Leases


Questions and Answers
  • 1. 
    When a lease is assigned, who is responsible for rent obligations?
    • A. 

      The assignee becomes primarily liable under the lease, and the assignor is released

    • B. 

      The assignor remains primarily liable under the lease

    • C. 

      The assignee becomes primarily liable under the lease, and the assignor retains secondary liability

    • D. 

      The assignee is liable only to the assignor and the assignor is liable to the lessor

  • 2. 
    What type of long term lease is best for a commercial tenant during an inflationary period?
    • A. 

      Gross

    • B. 

      Percentage

    • C. 

      Index

    • D. 

      Net

  • 3. 
    What colorless, odorless gas causes cancer and enters a home throug the foundation
    • A. 

      PCB's

    • B. 

      EMF's

    • C. 

      Radon

    • D. 

      Urea formaldehyde

  • 4. 
    The uniform residential landlord and Tenant Act provides that the tenant
    • A. 

      Can agree to hold the landlord harmless for actions of the landlord

    • B. 

      May apply the security deposit to the last month's rent

    • C. 

      May not unreaasonably withhold permission for the landlord to enter the premises

    • D. 

      Will make the repairs necessary to keep the premises fit for habitation

  • 5. 
    The uniform residential landlord and tenant act provides that
    • A. 

      It is a one year lease when no rental period is agreed to

    • B. 

      If no rental amount is specified then no rent can be collected

    • C. 

      The tenant must sign an exculpatory clause if requested to do so

    • D. 

      The maximum security deposit for unfurnished units is one month's rent

  • 6. 
    The tenant who remains in possession after the lease expires:
    • A. 

      Is on a periodic tenancy

    • B. 

      Has a freehold interest

    • C. 

      Is a tennant at sufferance

    • D. 

      Has a servient tenement

  • 7. 
    The lessee pays for fire insurance under what type of lease?
    • A. 

      Gross

    • B. 

      Percentage

    • C. 

      Triple net

    • D. 

      Graduated Payment

  • 8. 
    The initial action in an eviction for non payment of rent would be a(n)
    • A. 

      Unlawful detainer action

    • B. 

      Writ of possession

    • C. 

      Seizure notice

    • D. 

      Noticde to quit or pay rent

  • 9. 
    The effect of a lease assignment is that the
    • A. 

      Entire lease interest is transferred

    • B. 

      Assignee makes rent payments to the assignor

    • C. 

      Assignee is a tenant of the assignor

    • D. 

      Assignor remains primarily liable on the lease

  • 10. 
    R rented a summer cottage for the first two weeks in July.  What type of tenancy does R have?
    • A. 

      Estate for years

    • B. 

      Estate at will

    • C. 

      Periodic Tenancy

    • D. 

      Tenancy at Sufferance

  • 11. 
    Partial lease interests were transferred by a lessee.  This is a(n)
    • A. 

      Step lease

    • B. 

      Gross lease

    • C. 

      Assignment

    • D. 

      Sublease

  • 12. 
    One reason a company would sell and then lease back its real property would be
    • A. 

      The deductibility of interest

    • B. 

      To reduce monthly expenses

    • C. 

      Liquidity

    • D. 

      The tax benefits of depreciation

  • 13. 
    J leased to K who subleased to L, who then subleased to M.  The lease between K and L could be regarded as a(n)
    • A. 

      Sandwich lease

    • B. 

      Assignment

    • C. 

      Master lease

    • D. 

      Flat lease

  • 14. 
    In the absence of a notice to terminate, a lease that automatically renews itself would be a
    • A. 

      Periodic tenancy

    • B. 

      Tenancy for years

    • C. 

      Gross lease

    • D. 

      Ground lease

  • 15. 
    In accordance with the uniform residential landlord and tenant act, a lessor may properly require that the tenant
    • A. 

      Pay a security deposit equal to two months rent

    • B. 

      Agree to a limitation on the owner's liability

    • C. 

      Pay any lessor attorney fees arising from a dispute

    • D. 

      Restrict use of the premises to residential purposes

  • 16. 
    G leased a commercial building to S for ten years.  After six months S moved out without notice.  G advertised for a tenant.  G's action relate to
    • A. 

      Liquidated damages

    • B. 

      Mitigation of damages

    • C. 

      Punitive damages

    • D. 

      Severance damages

  • 17. 
    Broker L, who manages property for M, approaches tenant N for back rent a day after M dies.  N refuses to pay.  The broker should
    • A. 

      Give N statutory notice to quit or pay rent

    • B. 

      Start an unlawful detainer action

    • C. 

      Turn the matter over to a colllection attorney

    • D. 

      Take no further action

  • 18. 
    An owner wanted to structure the lease to provide income benefits like an annuity but also wanted inflation protection.  To a long term net lease she added a provision relating to:
    • A. 

      The consumer price index

    • B. 

      EMF

    • C. 

      A right of first refusal

    • D. 

      Quiet enjoyment

  • 19. 
    An owner died, which immediately ended a tenant's rights.  What kind of tenancy was it?
    • A. 

      Tenancy at will

    • B. 

      Tenancy at sufferance

    • C. 

      Periodic tenancy

    • D. 

      Estate for years

  • 20. 
    An example of constructive eviction would be a
    • A. 

      Tenant who refuses to pay rent

    • B. 

      Tenant being given a notice to quit or pay rent

    • C. 

      Landlord cutting off the tenants heat and water

    • D. 

      Tenant who remains in possession after termination of the lease

  • 21. 
    An estate for years would be created by:
    • A. 

      Express agreement

    • B. 

      Adverse possession

    • C. 

      Operation of the law

    • D. 

      Holding over

  • 22. 
    An advantage offered to an investor buying a structure subject to a ground lease rather than buying the structure and the land is
    • A. 

      Not having to pay for an unneeded structure

    • B. 

      Lower investment requirements

    • C. 

      Being able to deduct interest payments

    • D. 

      The advantage of a continued rental income

  • 23. 
    After receiving a three year lease,  a residential tenant moved in and paid the first month's rent, but failed to sign and return a copy to the lessor.  As to the tenant's obligations the
    • A. 

      Tenant can cease the tenancy after a 30 day notice

    • B. 

      Lease is inivalid because it is an oral lease for more than one year

    • C. 

      Tenant can leave but must forfeit any security deposit

    • D. 

      Tenant remains bound to the provisions of the lease

  • 24. 
    A valid lease must include
    • A. 

      An exculpatory provision

    • B. 

      The specified use of the premises

    • C. 

      A definite termination date

    • D. 

      A description of the premises

  • 25. 
    A tenant suffered from lead poisoning relating to the occupancy of an older apartment.  The cause was likely
    • A. 

      Insulation

    • B. 

      Radon leakage

    • C. 

      Flaking paint

    • D. 

      Related to EMF

Back to Top Back to top