Section 5: Contract Law in Texas
"TRELA is the real estate law and it is administered by TREC." - correct
answer ✔True
According to Phillip, what's the purpose of the Texas Real Estate License Act?
- correct answer ✔To protect the public through the regulation of real estate
licensees and other industry professionals.
The commission may adopt rules in the public's best interest that require
license holders to use contract forms prepared by the Texas Real Estate
Broker-Lawyer Committee and adopted by the commission. - correct answer
✔True
How Well Do You Know the Commission's Authority? - correct answer ✔-
Administer the law known as TRELA
-Adopt rules and policies to protect the public
-Establish rules requiring real estate licensees to use contract forms adopted
by the commission
-Suspend or revoke a license holder's license for unauthorized practice of law
The Commission's Mission with Contract Forms - correct answer ✔The
commission has rule-making authority and these rules have the full affect and
force of the law. The rules relating to contract forms are to serve and protect
the publics best interest.
Which one of these statements is true as it relates to the required use of
contract forms? - correct answer ✔License holders are required to use
contract forms prepared by the Texas Real Estate Broker-Lawyer Committee
and approved by the Texas Real Estate Commission, unless the contract form
, is prepared by a property owner or prepared by an attorney on behalf of a
property owner.
Other rules related to contract forms pertain to the listing form. Identify the two
provisions that must be included in the listing form. - correct answer ✔-A
provision informing the parties that real estate commissions are negotiable
-A provision explaining the availability of Texas coastal natural hazard
information
Rule relating to contract forms - correct answer ✔-License holders use
contract forms prepared by the Texas Real Estate Broker-Lawyer Committee
and adopted by TREC.
-A listing form states that real estate commissions are negotiable.
-A listing form outlines the availability of Texas coastal hazards information to
coastal residents.
Alexander is a new sales agent in Texas currently representing Jim and Sue
who are purchasing a home from Patricia. Patricia has had an attorney on
hand for several years to consult in business dealings and other important
matters. She has decided she'd be more comfortable if her attorney drafted
the contract form for use in the sale rather than use a Texas promulgated
form. Can Alexander move forward with his clients in the transaction with a
contract drafted by the property owner's attorney? - correct answer ✔Yes
One key to practicing within your area of expertise and avoiding unauthorized
practice of law is understanding the actions you can and cannot take. Let's
start by reviewing some of these actions. - correct answer ✔-Use existing
forms that have been reviewed by an attorney
-Explain clauses to your clients
-Crunch numbers for your clients
-Notify buyers that a sale will likely prompt an increase in property taxes
"TRELA is the real estate law and it is administered by TREC." - correct
answer ✔True
According to Phillip, what's the purpose of the Texas Real Estate License Act?
- correct answer ✔To protect the public through the regulation of real estate
licensees and other industry professionals.
The commission may adopt rules in the public's best interest that require
license holders to use contract forms prepared by the Texas Real Estate
Broker-Lawyer Committee and adopted by the commission. - correct answer
✔True
How Well Do You Know the Commission's Authority? - correct answer ✔-
Administer the law known as TRELA
-Adopt rules and policies to protect the public
-Establish rules requiring real estate licensees to use contract forms adopted
by the commission
-Suspend or revoke a license holder's license for unauthorized practice of law
The Commission's Mission with Contract Forms - correct answer ✔The
commission has rule-making authority and these rules have the full affect and
force of the law. The rules relating to contract forms are to serve and protect
the publics best interest.
Which one of these statements is true as it relates to the required use of
contract forms? - correct answer ✔License holders are required to use
contract forms prepared by the Texas Real Estate Broker-Lawyer Committee
and approved by the Texas Real Estate Commission, unless the contract form
, is prepared by a property owner or prepared by an attorney on behalf of a
property owner.
Other rules related to contract forms pertain to the listing form. Identify the two
provisions that must be included in the listing form. - correct answer ✔-A
provision informing the parties that real estate commissions are negotiable
-A provision explaining the availability of Texas coastal natural hazard
information
Rule relating to contract forms - correct answer ✔-License holders use
contract forms prepared by the Texas Real Estate Broker-Lawyer Committee
and adopted by TREC.
-A listing form states that real estate commissions are negotiable.
-A listing form outlines the availability of Texas coastal hazards information to
coastal residents.
Alexander is a new sales agent in Texas currently representing Jim and Sue
who are purchasing a home from Patricia. Patricia has had an attorney on
hand for several years to consult in business dealings and other important
matters. She has decided she'd be more comfortable if her attorney drafted
the contract form for use in the sale rather than use a Texas promulgated
form. Can Alexander move forward with his clients in the transaction with a
contract drafted by the property owner's attorney? - correct answer ✔Yes
One key to practicing within your area of expertise and avoiding unauthorized
practice of law is understanding the actions you can and cannot take. Let's
start by reviewing some of these actions. - correct answer ✔-Use existing
forms that have been reviewed by an attorney
-Explain clauses to your clients
-Crunch numbers for your clients
-Notify buyers that a sale will likely prompt an increase in property taxes
