The correct answer is - True.
The transform boundaries of the tectonic plates are boundaries where two tectonic plates are sliding against each other. As they do that, they do create geological activity around the boundary, and earthquakes are a common occurrence. Another trademark of these boundaries are the faults, that stretch for several km in a linear manner, usually parallel to the boundary itself. Most of these faults are located in the ocean basins and they are connecting the offsets of the mid-ocean ridges, but they can also be found on land, like it is the case in California.
It would help to attach a picture or explain the question better. How else are we supposed to know the places the question is talking about?
