TREC (State Exam)
When was TREC Created? - Answer-1939
What Does TREC have the authority to do? - Answer-Make rules and regulations
How many members are in TREC - Answer-9 Members
6 Brokers
3 General Public
How are TREC members appointed? - Answer-By the governor or senate
What happens if a License Holder fails to respond to a subpoena - Answer-TREC can file a suit with the
attorney general
Who writes promulgated contract forms - Answer-The broker Lawyer Committee
How many members are on the Broker Lawyer Committee? - Answer-13 Members
6 Brokers - appointed by TREC
6 Lawyers - appointed by state bar association
1 public member appointed by the governor
,Where is the Real Estate Center? - Answer-Texas A&M
How many members are on the Texas A&M advisory Committee? - Answer-10 appointed by the
governor
6 are brokers licensed for 5 years
3 representing the public
1 ex-official representing TREC
How long does a individual have to file a complaint with TREC? - Answer-4 years from the effective date
of contract, or the date of the incident
What does TREC have the power to do? - Answer-Issue or revoke a Real Estate License
Where are TREC hearings held? - Answer-Austin, unless a license holder requests the hearing be held in
their county
What happens if a license holder fails to respond to a summons from TREC - Answer-TREC will
automatically schedule a revocation/suspension hearing
What can you do if you license is revoked by TREC? - Answer-You can appeal the decision to the district
court
What happens if a person engages in real estate brokerage without having a secured license from TREC?
- Answer-Guilty of a class A misdemeanor, subject to a fine not more than 4K or imprisonment in the
country jail
The broker who profited is liable for 3x's the amount recieved
, What is the penalty for violation of the License Act? - Answer-$5,000 per day for violation of the license
act by any person; licensed or unlicensed
What is the Real Estate Recovery Trust Account - Answer-Created by TREC to pay aggrieved persons who
suffered a monetary due to acts of a license holder
How much money can an aggrieved person receive from the recovery trust account? - Answer-3x's the
amount of money lost
What happens if the recovery trust account is less than 1 million? - Answer-TREC could make agents pay
the renal fee ($10) of their license or whatever necessary to bring the amount to 1,700,000
What happens if the Recovery Trust account exceeds 3.5 Million? - Answer-The excess goes into the
states general fund
What happens when Recovery Trust Account balance is not below 1 million - Answer-TREC simply
continues to invest funds
What happens to the licensee when TREC pays an amount out of the Recovery Trust Account - Answer-
The license of the individual may be revoked or suspended.
The license may never be recovered until the account has been repaid with interest
What is the max payments TREC will pay out of the Recovery Trust? - Answer-100,000 per license holder
and 50,000 per transaction
Who is required to have a real estate license? - Answer--Attorneys participating in a commission split
-Auctioneers involded in any part of a real estate transaction
When was TREC Created? - Answer-1939
What Does TREC have the authority to do? - Answer-Make rules and regulations
How many members are in TREC - Answer-9 Members
6 Brokers
3 General Public
How are TREC members appointed? - Answer-By the governor or senate
What happens if a License Holder fails to respond to a subpoena - Answer-TREC can file a suit with the
attorney general
Who writes promulgated contract forms - Answer-The broker Lawyer Committee
How many members are on the Broker Lawyer Committee? - Answer-13 Members
6 Brokers - appointed by TREC
6 Lawyers - appointed by state bar association
1 public member appointed by the governor
,Where is the Real Estate Center? - Answer-Texas A&M
How many members are on the Texas A&M advisory Committee? - Answer-10 appointed by the
governor
6 are brokers licensed for 5 years
3 representing the public
1 ex-official representing TREC
How long does a individual have to file a complaint with TREC? - Answer-4 years from the effective date
of contract, or the date of the incident
What does TREC have the power to do? - Answer-Issue or revoke a Real Estate License
Where are TREC hearings held? - Answer-Austin, unless a license holder requests the hearing be held in
their county
What happens if a license holder fails to respond to a summons from TREC - Answer-TREC will
automatically schedule a revocation/suspension hearing
What can you do if you license is revoked by TREC? - Answer-You can appeal the decision to the district
court
What happens if a person engages in real estate brokerage without having a secured license from TREC?
- Answer-Guilty of a class A misdemeanor, subject to a fine not more than 4K or imprisonment in the
country jail
The broker who profited is liable for 3x's the amount recieved
, What is the penalty for violation of the License Act? - Answer-$5,000 per day for violation of the license
act by any person; licensed or unlicensed
What is the Real Estate Recovery Trust Account - Answer-Created by TREC to pay aggrieved persons who
suffered a monetary due to acts of a license holder
How much money can an aggrieved person receive from the recovery trust account? - Answer-3x's the
amount of money lost
What happens if the recovery trust account is less than 1 million? - Answer-TREC could make agents pay
the renal fee ($10) of their license or whatever necessary to bring the amount to 1,700,000
What happens if the Recovery Trust account exceeds 3.5 Million? - Answer-The excess goes into the
states general fund
What happens when Recovery Trust Account balance is not below 1 million - Answer-TREC simply
continues to invest funds
What happens to the licensee when TREC pays an amount out of the Recovery Trust Account - Answer-
The license of the individual may be revoked or suspended.
The license may never be recovered until the account has been repaid with interest
What is the max payments TREC will pay out of the Recovery Trust? - Answer-100,000 per license holder
and 50,000 per transaction
Who is required to have a real estate license? - Answer--Attorneys participating in a commission split
-Auctioneers involded in any part of a real estate transaction
