EnvironmentalIntermediateCalifornia Exam

Under California's Proposition 65, sellers must warn buyers about:

AProperties located in flood zones, per standard environmental compliance procedure

BSignificant exposure to chemicals known to cause cancer or reproductive harmCorrect

CUnderground storage tanks on adjacent properties, under California environmental disclosure law

DProperties within 1 mile of a Superfund site, as required under standard hazard disclosure practice

Why Significant exposure to chemicals known to cause cancer or reproductive harm Is Correct

Answer B: Significant exposure to chemicals known to cause cancer or reproductive harm

Proposition 65 (Safe Drinking Water and Toxic Enforcement Act of 1986) requires businesses and property owners to provide clear warnings before knowingly exposing people to chemicals on the state's list of carcinogens and reproductive toxicants.

Exam Tip: Environmental

Environmental questions test knowledge of hazards like asbestos, lead-based paint, radon, and mold. Know the disclosure requirements and when a professional inspection is required. CERCLA liability is strict, joint, and several.

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Key Terms to Know

Adjustable-Rate Mortgage (ARM)

A mortgage with an interest rate that changes periodically based on a financial index, usually after an initial fixed-rate period.

Variance

Official permission to use land in a way that does not conform to the applicable zoning ordinance, granted by a zoning board when strict enforcement would cause undue hardship.

Joint Tenancy

Co-ownership where two or more people hold equal, undivided interests with the right of survivorship — when one owner dies, their share passes to the surviving owners.

Zoning

Local government regulations that control land use by dividing areas into zones specifying permitted uses, building sizes, and densities.