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Who is responsible for any wrongs done by a The broker is liable for the wrongdoing of his or her salespersons. The
salesperson while acting within the scope of the principal is liable for any wrongs committed by the broker while
agency agreement? acting within the scope of the agency agreement.
what is the distinction between sales contracts and One characteristic of sales contracts is mutual obligation. Option
option contracts? contracts lack mutual obligation. The buyer in an option contract is not
obligated to buy.
A listing agreement must contain: a standard street address is sufficient.
If the commission investigates a complaint and A licensee who faces suspension or revocation of their license is
determines that an individual's real estate license entitled to a hearing within 30 days of the commission reaching their
should be suspended or revoked, the licensee decision.
is entitled to a hearing before the commission
within how many days after the commission
reaches its decision?
Which of the licensed entities does not fall under The Texas Appraiser Licensing and Certification Board has jurisdiction
the regulatory authority of the Texas Real Estate over state licensed and certified appraisers. In addition to licensing
Commission? brokers and salespersons, the Texas Real Estate Commission is
responsible for licensing real estate inspectors and for regulation of
companies that sell and issue residential service contracts ("home
warranties"). (Article 65736, Vernon's Texas Civil Statutes.
A licensee in Texas may not practice law, unless a deed, deed of trust, will, or other written instrument that may transfer
licensed and authorized to do so in Texas. or affect the title to land.
Practicing law includes altering contracts, or
drawing up:
What penalties may a licensee who breaches the A licensee who breaches the agency relationship may be sued for
agency relationship face? damages, termination of the contract, and/or non-payment of the
commission.
Undisclosed dual agency is: a violation of the TRELA.
What is the composition of the Broker-Lawyer Six broker members are appointed by the Texas Real Estate
Committee? Commission; six attorney members are appointed by the President
of the State Bar of Texas. The appointees serve a term of six years
with one-third of them being appointed every two years.
A licensee must disclose any existing agency may be done orally or in writing.
relationships to a new client. This disclosure:
, A broker may do which of the following for an A broker may obtain financing, assist in locating a property, and
individual without actually representing the prepare a contract or lease for an individual without representing the
individual? individual.
A real estate licensee must notify the real estate A licensee must notify the real estate program manager within 20 days
program manager if: of receiving any criminal complaint, information, indictment, or
conviction in which the licensee is named as a defendant; or entry of a
civil court order, verdict, or judgment, against the licensee in any court
of competent jurisdiction in which the subject matter therein involves
any real estate or business-related activity by the licensee.
Pamela, who lives in a suburb in which many unacceptable because it involves an activity for which a real estate
homes are rented, decides to open a rental agency license is required.
in order to assist her friends in finding suitable
renters. Pamela's conduct is
The sole broker of a brokerage firm has his or her If the broker's license is suspended or revoked, the salespersons'
real estate license suspended for two years. licenses are made inactive and must be returned to the commission. A
What would happen to the licenses of the salesperson's license may be made active when the salesperson is
salespersons affiliated with this broker? sponsored by a new broker.
Which agency is responsible for the contract forms The Texas Real Estate Commission
used by Texas licensees?
A community property with rights of survivorship doesn't need to go through probate, must be signed by both spouses,
agreement must: must include the property description, be in writing, contain wording
that makes evident the intent of survivorship, and be recorded in
the county courthouse.
Generally, the most important responsibility of an represent the financial interests of the client.
agent is to:
Broker Bea recently entered into a listing voidable at the option of the minor.
contract with Seller Sally. Broker Bea just learned
that Sally is actually 17 years old and not married.
The listing contract is:
Which of the following people would need to D. The sale of land/lots is an act of brokerage and requires that one
obtain a real estate license if they were involved have a license if he or she is not the owner of the lot. The other three
in a real estate activity? answers are listed as people who do not need a license in Section 3 of
A. the executor of an estate the Texas Real Estate License Act.
B. a court-appointed guardian
C. a trustee of the bankruptcy court
D. one who sells lots in a mobile home park
An agency relationship may be terminated by expiration of time, agreement, rescission, abandonment, or by the death
of either party.
A property owner may claim a homeowner's $7,000 dollars
exemption in Texas on a residence that is both
owned and occupied. The exemption reduces the
assessed value of the residence by
A broker must maintain a place of business in The broker must notify the commission of any change of address within
the state of Texas. If the location changes, the 10 days.
broker has how long to notify the
commission?