North Dakota Real Estate Practice Exam

If the method of disposition is adopted to evade registration provisions, how is this treated?

1. It becomes legal

2. It remains exempt

3. It violates the act

4. It is regulated under different laws

The correct answer is: It violates the act

When the method of disposition is adopted specifically to evade registration provisions, it is treated as a violation of the act. This is because registration provisions exist to protect consumers, ensure transparency in real estate transactions, and uphold the integrity of the real estate market. Evading these requirements undermines the purpose of regulation and can lead to potential legal repercussions for those involved in the transaction. By engaging in such practices, individuals or entities are not only disregarding the established laws but also potentially exposing themselves to penalties, fines, or other legal actions that stem from non-compliance with the registration requirements. Thus, the intention to evade these provisions solidifies the act as a violation, highlighting the importance of adhering to legal frameworks in real estate transactions.