California Real Estate Practice Exam

To "rescind" is the same as to:

1. Resale

2. Revise

3. Revoke

4. Transfer

The correct answer is: Revoke

To "rescind" means to revoke or cancel a contract or agreement. When a party rescinds a contract, it nullifies the agreement and restores the parties involved to their positions prior to the contract's formation. This is often done to correct a mistake or when one party has not fulfilled their obligations under the contract. The term is particularly relevant in real estate transactions where buyers or sellers may wish to back out of a deal for various legitimate reasons, such as discovering undisclosed issues with the property or a change in circumstance that impacts the agreement. Thus, in the context of this question, rescinding aligns directly with the idea of revoking—meaning to take back or undo an agreement that was previously made.