Virginia Real Estate Exam Practice Question
When assigning a contract, what should the assignor ensure is permitted in the purchase contract?
Correct Answer: C
Rationale: When assigning a contract, the assignor must ensure that assignability is permitted in the purchase contract. This allows the assignor to transfer their rights and obligations to another party.
Option A, acceleration, refers to the right of a lender to demand full payment upon default, which is unrelated to assignment. Option B, a due-on-sale clause, restricts transfer of property without the lender's consent, making assignment problematic. Option D, termination, implies ending the contract, which contradicts the goal of assignment. Thus, ensuring assignability is crucial for a smooth transfer of contractual rights.
Unlock All Questions
Subscribe to Premium for full access to all practice questions, detailed rationales, and performance tracking.
Subscribe Now