Contracts
Under Montana law, a real estate purchase contract that was obtained through fraud by one party is:
AVoid from the beginning (void ab initio)
BVoidable at the option of the defrauded party, who may affirm or rescind the contract✓ Correct
CFully enforceable since fraud is a separate legal matter
DOnly voidable if reported to law enforcement
Explanation
A contract obtained through fraud is voidable—not void. The defrauded party has the option to affirm the contract (keep it) or rescind it. If they rescind, they may seek to recover any losses suffered due to the fraud.
Related Montana Contracts Questions
- In Montana, the Statute of Frauds requires real estate contracts to be:
- If a seller accepts one offer and then receives a higher offer, the seller:
- A lease agreement is a contract between a landlord and tenant that creates a:
- An offer to purchase is best revoked before acceptance by:
- A unilateral contract in real estate is typically illustrated by:
- In Montana, an option contract gives the optionee (buyer) the right to:
- Under Montana law, an oral lease for a residential property for a period of two years is:
- In Montana, a 'purchase agreement' and a 'sales contract' for real estate are:
Practice More Montana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Montana Quiz →