Ch 11 - Tx Re License Act Subchap J-Q

Front 1

What are the conditions for a business entity to act as a broker?

Back 1

the entity's designated agent is a licensed broker in active status and good standing according to the commission's records

Front 2

An administrative penalty may not exceed how much money for each violation?

Back 2

$5,000

Front 3

When is certificate of registration displayed?

Back 3

at all times

Front 4

In what document would you find a brief summary of the alleged license law violation?

Back 4

Notice of Violation and Penalty

Front 5

Agent Al has an agreement with ABC Trash Haulers. Agent Al gets a $25 finders fee each time one of Al's clients uses ABC Trash Haulers. What law, if any, has Agent Al violated?

Back 5

Agent Al may not accept, receive, or charge an undisclosed commission, rebate, or direct profit on an expenditure made for a principal.

Front 6

Which of the following statements best define "substantive dialogue" ?

Back 6

A meeting or written communication that involves a substantive discussion relating to specific real property

Front 7

Interest from the investments must be deposited to __________.

Back 7

the credit of the trust account

Front 8

In which way each license and certificate holder must provide notice to consumers and service recipients of the availability of payment from the trust account for aggrieved persons?

Back 8

on a brochure that the license or certificate holder distributes

Front 9

What is the minimum annual coverage limit for each occurrence that a real estate business entity must maintain for errors and omissions insurance, if the designated agent owns less than 10 percent of the business?

Back 9

$1 million

Front 10

Seller Fran contacts Agent Mary and wants to sell a property via a lottery. How should Agent Mary respond to the request?

Back 10

Agent Mary should inform Seller Fran, that offering real property through a lottery with licensed representation is illegal.

Front 11

Who may complete only 3 (three) hours of continuing education on the legal topics?

Back 11

a member of the legislature

Front 12

Who is required to complete at least six (6) classroom hours of broker responsibility education courses?

Back 12

A broker who sponsors a salesperson, or a license holder who supervises another license holder

Front 13

What the commission may ask from a license holder being probated due to suspension or revocation of his license?

Back 13

to limit practice to an area prescribed by the commission

Front 14

TREC may issue or renew a license for a period

Back 14

not to exceed 24 months

Front 15

When may the aggrieved person apply to the court that entered the judgment for an order for payment from the trust account of the amount unpaid on the judgment?

Back 15

after the 20th day after the date the aggrieved person gives written notice of the claim to the commission and judgment debtor the reserve holding account

Front 16

A salesperson

Back 16

may not pay a commission to a person except through the broker with whom the salesperson is associated at that time.

Front 17

A Class A misdemeanor is punishable by a fine of up to

Back 17

$4,000 or imprisonment of up to one year or both.

Front 18

Salesperson Jim is has just renewed his license for the first time. How many semester hours, or equivalent classroom hours, of core real estate courses must he have completed?

Back 18

at least 18

Front 19

How many days does a person have to pay or appeal an administrative hearing penalty?

Back 19

30

Front 20

Agent Ron has guaranteed a potential buyer that a subject property will increase in value in 5 years. What can be said about Agent Ron's statement?

Back 20

Agent Ron's statement might be grounds for suspension or revocation of his license.

Front 21

What are the conditions for a business entity to act as a broker?

Back 21

the entity's designated agent is a licensed broker in active status and good standing according to the commission's records

Front 22

What of the following statements is not a ground for the commission to suspend or revoke an issued license or take other disciplinary action of the license holder, while acting as a broker or salesperson?

Back 22

if such person denies to disclose information regarding HIV/AIDS status of the present owner of the property

Front 23

What action must take place prior to the placement of a for sale sign?

Back 23

The licensee must get the written consent of the owner of the real property or the owner's authorized agent.

Front 24

What may be required from an applicant if s/he has his or her license issued, renewed, or returned to active status before s/he completes continuing education requirements?

Back 24

to complete the required continuing education not later than the 60th day after the date the license is issued, renewed, or returned to active status

Front 25

How may a person renew a license if it has been expired for six months or longer?

Back 25

by submitting to reexamination and complying with the requirements and procedures for obtaining an original license

Front 26

What are the full conditions for a broker to appoint an associated license holder acting as an intermediary?

Back 26

both clauses 2 and 3

(if the broker provides written notice of the appointment to all parties involved in the real estate transaction AND if the written consent of the parties authorizes the broker to make the appointment)

Front 27

Who will conduct the hearing regarding administrative penalty?

Back 27

an administrative law judge of the State Office of Administrative Hearings

Front 28

What is the ruling regarding a broker's address change notice?

Back 28

A broker must notify TREC within 10 days after the date of the move of the new address.

Front 29

What should be the balance of the Real Estate Recovery Trust Account?

Back 29

$1.7 million

Front 30

When may a broker act as an intermediary between parties to a real estate transaction?

Back 30

if the broker obtains written consent from each party for the broker to act as an intermediary in the transaction, in which the source of any expected compensation to the broker is stated

Front 31

Where are surplus Real Estate Recovery Trust Account funds transferred to?

Back 31

The general revenue fund

Front 32

What are the full conditions when a license holder may not provide to a party to a real estate transaction at the time of the first substantive dialogue with the party the written statement?

Back 32

the proposed transaction is for a residential lease for not more than one year and a sale is not being considered, or the license holder meets with a party who is represented by another license holder

Front 33

Which of the following items must a residential rental locator prominently display that allows access by clients and prospective clients?

Back 33

A statement that the locator is licensed by the commission

Front 34

TREC may issue or renew a license for a period

Back 34

not to exceed 24 months

Front 35

Which entity hears administrative penalty review requests?

Back 35

An administrative law judge of the State Office of Administrative Hearings

Front 36

Which way may a licensed broker pay a commission to or otherwise compensate a person directly or indirectly for performing an act of a broker?

Back 36

if the person receiving payment is a license holder or a real estate broker licensed in another state who does not conduct in this state any of the negotiations for which the commission or other compensation is paid

Front 37

Agent Sue is aware of a faulty septic tank but fails to inform a buyer of the situation. What, if any, law is Agent Sue violating?

Back 37

Failure to disclose to a potential buyer a defect that is known to the license holder

Front 38

Agent Al has an agreement with ABC Trash Haulers. Agent Al gets a $25 finders fee each time one of Al's clients uses ABC Trash Haulers. What law, if any, has Agent Al violated?

Back 38

Agent Al may not accept, receive, or charge an undisclosed commission, rebate, or direct profit on an expenditure made for a principal.

Front 39

What the commission may ask from a license holder being probated due to suspension or revocation of his license?

Back 39

to limit practice to an area prescribed by the commission

Front 40

What of the following statements is not a ground for the commission to suspend or revoke an issued license or take other disciplinary action of the license holder, while acting as a broker or salesperson?

Back 40

if such person denies to disclose information regarding HIV/AIDS status of the present owner of the property

Front 41

What must the aggrieved person show at the hearing on the application for payment from the trust account?

Back 41

The amount that may be realized from the sale of assets liable to be sold or applied to satisfy the judgment

Front 42

What is the main purpose of intermediary?

Back 42

to negotiate a transaction between the parties to a transaction

Front 43

What is the maximum amount of payments from the trust account for claims arising out of a single transaction?

Back 43

$50,000 including attorney's fees, interest, and court costs

Front 44

Which way may the commission suspend or revoke an issued license or take other disciplinary action?

Back 44

if the license holder fails to use a contract form required by the commission

Front 45

What is the ruling regarding a broker's address change notice?

Back 45

A broker must notify TREC within 10 days after the date of the move of the new address.

Front 46

Who will conduct the hearing regarding administrative penalty?

Back 46

an administrative law judge of the State Office of Administrative Hearings

Front 47

The notice of the commission's order given to the person under Chapter 2001, Government Code must include a statement of the person's right to

Back 47

judicial review of the order.

Front 48

Seller Fran contacts Agent Mary and wants to sell a property via a lottery. How should Agent Mary respond to the request?

Back 48

Agent Mary should inform Seller Fran, that offering real property through a lottery with licensed representation is illegal.

Front 49

Agent Norm has been convicted of a Class II felony. How many days does Norm have to notify TREC of his conviction?

Back 49

30 Calendar days

Front 50

When may the aggrieved person apply to the court that entered the judgment for an order for payment from the trust account of the amount unpaid on the judgment?

Back 50

after the 20th day after the date the aggrieved person gives written notice of the claim to the commission and judgment debtor the reserve holding account

Front 51

How many hours required to complete an online course?

Back 51

No less than 24

Front 52

What is the minimum annual coverage limit for each occurrence that a real estate business entity must maintain for errors and omissions insurance, if the designated agent owns less than 10 percent of the business?

Back 52

$ 1 million

Front 53

What kind of information is not a subject for disclosure by a license holder?

Back 53

Both clauses 2 and 3

Front 54

In which way each license and certificate holder must provide notice to consumers and service recipients of the availability of payment from the trust account for aggrieved persons?

Back 54

on a brochure that the license or certificate holder distributes

Front 55

How may a person renew a license if it has been expired for six months or longer?

Back 55

by submitting to reexamination and complying with the requirements and procedures for obtaining an original license

Front 56

Is an allien eligible to receive a certificate of registration or a renewal certificate?

Back 56

yes, if s/he is a lawfully admitted alien of age over 18

Front 57

If a person does not pay the administrative penalty and the enforcement of the penalty is not stayed,

Back 57

the administrator may refer the matter to the attorney general for collection of the penalty.

Front 58

A person whose license has been expired for 90 days or less may renew the license by paying to TREC a fee

Back 58

equal to 1-1/2 times the required renewal fee.

Front 59

Subchapter P addresses penalties for unlicensed persons. A violation of the license act by an unlicensed person is a

Back 59

Class A misdemeanor.