Question: A broker is employed by developer to sell lots in a 50-acre subdivision. The land is encumbered by a blanket mortgage. A buyer purchases one

A broker is employed by developer to sell lots in a 50-acre subdivision. The land is encumbered by a blanket mortgage. A buyer purchases one of the lots for $10,000. The broker does not inform the buyer that the lot can only be release from the blanket mortgage upon a cash payment of 12,000 the lender. Which of these is a CORRECT statement?

a. The broker has done nothing illegal

b. Only the broker is in violation of Chapter 475, Florida Statues.

c. Both the broker and the developer have not violated Chapter 475, Florida Statues

d. The transaction would to be legal, if the buyer could release the lot from the blanket mortgage upon a $12,000 cash payment.

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