Basic Provisions of TRELA and Subchapter A

Question 1

What is TRELA contained in?

Answer 1

Title 7, Chapter 1101, of the TX statutes

Question 2

What is the primary purpose of the license law?

Answer 2

To protect the public from dishonesty or incompetence among real estate agents. To accomplish this, the law defines minimum standards and qualifications for agents

Question 3

What is the difference b/t a broker and a salesperson?

Answer 3

A broker is a person licensed to operate his/her own business, while a salesperson is a person licensed to perform real estate activities under the supervision of a licensed broker. A salesperson must be sponsored by a broker

Question 4

Who all is exempt from needing a license to complete a real estate transaction?

Answer 4

• an owner selling his or her own property
• auctioneers auctioning real property
• an individual employed by a business entity for the purpose of bullying, selling or leasing real property for the entity
• persons operating under a court order, such as an executor, trustee, or receiver
• some public officials and gov’t employees performing official duties
• trade associations providing electronic listing services for members
• licensed TX attorneys

Question 5

What does Subchapter A address?

Answer 5

Addresses the general provisions of the law, including definitions, core real estate courses, and exempt persons

Question 6

What does Subchapter B describe?

Answer 6

It describes the makeup of the Texas Real Estate Commission (TREC) which administers TRELA

Question 7

Explain 1101.058. Per Diem, Reimbursement

Answer 7

It explains what a commission member is entitled to receive in compensation as $75 for each day the member performs the member’s official duties, reimbursement for actual and necessary expenses incurred in performing the member’s official duties, reimbursement for the travel expenses incurred in attending the training program

Question 8

What does Subchapter C describe?

Answer 8

Describes the TREC’s power to appoint an Executive Director, and other personnel as needed to discharge the Commission’s duties

Question 9

Explain 1101.101. Executive Director and Other Personnel

Answer 9

Describes the personnel the commission will or may appoint

Question 10

What does Subchapter D describe?

Answer 10

The powers and duties of the Commission, among them to administer Chapter 1101 and Chapter 1102, which contains the laws governing real estate inspectors