AgencyIntermediateArizona Exam

The 'procuring cause' doctrine in Arizona determines:

AWhich party—buyer or seller—is contractually responsible for paying the closing costs associated with the real estate transaction, including escrow and title fees
BWhich broker is entitled to a commission when multiple brokers were involved in bringing about a saleCorrect
CThe sequence in which multiple competing purchase offers must be presented to the seller, based on the time each offer was received by the listing agent
DWhich party—buyer, seller, or agent—bears legal responsibility for property defects that are discovered after the closing and transfer of title

Why Which broker is entitled to a commission when multiple brokers were involved in bringing about a sale Is Correct

Answer B: Which broker is entitled to a commission when multiple brokers were involved in bringing about a sale

Procuring cause determines which broker is entitled to a commission by identifying which broker was the proximate cause of the completed transaction—the broker whose uninterrupted series of events led directly to the sale. This is often disputed when buyer changes brokers mid-transaction.

Exam Tip: Agency

Agency questions are among the most tested on the exam. Focus on the difference between client and customer, and memorize the fiduciary duties (OLD CAR). Watch for questions that try to blur the line between a general agent and a special agent.

Key Agency Terms in This Question

Escrow

A neutral third-party arrangement where funds, documents, and instructions are held until all conditions of a real estate transaction are satisfied.

Closing Costs

Fees and expenses paid by the buyer and/or seller at the closing of a real estate transaction, in addition to the property's purchase price.

People Also Study

Related Arizona Questions

Study This Topic

Agency Law Guide

Practice More Arizona Real Estate Questions

1,400+ questions covering all exam topics. Start free — no signup required.

Take the Free Arizona Quiz →