Title OC, Occupations Code

Sec. 1101.562. REAL PROPERTY SHOWINGS WITHOUT REPRESENTATION. (a) A broker may show real property available for sale or lease to a party without representing the party if the broker: (1) has not agreed with the party, either orally or in writing, to represent the party; (2) is no…

Sec. 1101.563. WRITTEN AGREEMENT REQUIRED. (a) In this section, "residential real property" means: (1) a single-family house; (2) a duplex, triplex, or quadraplex; or (3) a unit in a multiunit residential structure in which title to an individual unit is transferred to the owner …

Sec. 1101.601. REAL ESTATE RECOVERY TRUST ACCOUNT. (a) The commission shall maintain a real estate recovery trust account to reimburse aggrieved persons who suffer actual damages caused by an act described by Section 1101.602 committed by: (1) a license holder; (2) a certificate …

Sec. 1101.6011. APPLICABILITY TO BUSINESS ENTITY. For purposes of this subchapter, a claim against a business entity license holder is also a claim against the broker who is the business entity's designated broker. Added by Acts 2015, 84th Leg., R.S., Ch. 1158 (S.B. 699), Sec. 59…

Sec. 1101.602. ENTITLEMENT TO REIMBURSEMENT. An aggrieved person is entitled to reimbursement from the trust account if a person described by Section 1101.601 engages in conduct that requires a license or certificate of registration under this chapter and is described by Section …

Sec. 1101.603. PAYMENTS INTO TRUST ACCOUNT. (a) Repealed by Acts 2023, 88th Leg., R.S., Ch. 94 (S.B. 1577), Sec. 28(5), eff. January 1, 2024. (b) Repealed by Acts 2015, 84th Leg., R.S., Ch. 1158 , Sec. 92, eff. January 1, 2016. (c) Notwithstanding any other law, the commission sh…

Sec. 1101.604. MANAGEMENT OF TRUST ACCOUNT. (a) The commission shall hold money credited to the trust account in trust to carry out the purpose of the trust account. (b) Money credited to the trust account may be invested in the same manner as money of the Employees Retirement Sy…

Sec. 1101.605. DEADLINE FOR ACTION; NOTICE TO COMMISSION. (a) An action for a judgment that may result in an order for payment from the trust account may not be brought after the second anniversary of the date the cause of action accrues. (b) When an aggrieved person brings an ac…

Sec. 1101.606. CLAIM FOR PAYMENT FROM TRUST ACCOUNT. (a) Except as provided by Subsections (c) and (c-1), an aggrieved person who obtains a court judgment against a license or certificate holder for an act described by Section 1101.602 may, after final judgment is entered, execut…

Sec. 1101.607. ISSUES AT HEARING. At the hearing on the application for payment from the trust account, the aggrieved person must show: (1) that the judgment is based on facts allowing recovery under this subchapter; (2) that the person is not: (A) the spouse of the judgment debt…

Sec. 1101.608. COMMISSION RESPONSE. (a) On receipt of notice under Section 1101.606, the commission may agree to pay all or part of the claim without a hearing. If the commission and the aggrieved person do not reach a settlement or the commission does not agree that the claim me…

Sec. 1101.609. COURT ORDER FOR PAYMENT. The court shall order the commission to pay from the trust account the amount the court finds payable on the claim under this subchapter if at a hearing the court is satisfied: (1) of the truth of each matter the aggrieved person is require…

Sec. 1101.610. PAYMENT LIMITS; ATTORNEY'S FEES. (a) Payments from the trust account for claims, including attorney's fees, interest, and court costs, arising out of a single transaction may not exceed a total of $125,000, regardless of the number of claimants. (b) Payments from t…

Sec. 1101.611. APPLICATION OF JUDGMENT RECOVERY. An aggrieved person who receives a recovery on a judgment against a single defendant before receiving a payment from the trust account must apply the recovery first to actual damages. Added by Acts 2001, 77th Leg., ch. 1421, Sec. 2…

Sec. 1101.612. SUBROGATION. (a) The commission is subrogated to all rights of a judgment creditor to the extent of an amount paid from the trust account, and the judgment creditor shall assign to the commission all right, title, and interest in the judgment up to that amount. (b)…

Sec. 1101.613. EFFECT ON DISCIPLINARY PROCEEDINGS. (a) This subchapter does not limit the commission's authority to take disciplinary action against a license or certificate holder for a violation of this chapter or a commission rule. (b) A license or certificate holder's repayme…

Sec. 1101.614. WAIVER OF RIGHTS. An aggrieved person who does not comply with this subchapter waives the person's rights under this subchapter. Added by Acts 2001, 77th Leg., ch. 1421, Sec. 2, eff. June 1, 2003.

Sec. 1101.615. NOTICE TO CONSUMERS AND SERVICE RECIPIENTS. (a) The commission by rule shall prescribe a notice regarding the availability of payment from the trust account for aggrieved persons and establish methods by which each license and certificate holder shall provide the n…

Sec. 1101.651. CERTAIN PRACTICES PROHIBITED. (a) A licensed broker may not pay a commission to or otherwise compensate a person directly or indirectly for performing an act of a broker unless the person is: (1) a license holder; or (2) a real estate broker licensed in another sta…

Sec. 1101.652. GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSE. (a) The commission may suspend or revoke a license issued under this chapter or Chapter 1102 or take other disciplinary action authorized by this chapter or Chapter 1102 if the license holder: (1) enters a plea of gu…

Sec. 1101.653. GROUNDS FOR SUSPENSION OR REVOCATION OF CERTIFICATE. The commission may suspend or revoke a certificate of registration issued under this chapter if the certificate holder: (1) engages in dishonest dealing, fraud, unlawful discrimination, or a deceptive act; (2) ma…

Sec. 1101.654. SUSPENSION OR REVOCATION OF LICENSE OR CERTIFICATE FOR UNAUTHORIZED PRACTICE OF LAW. (a) The commission shall suspend or revoke the license or certificate of registration of a license or certificate holder who is not a licensed attorney in this state and who, for c…

Sec. 1101.655. REVOCATION OF LICENSE OR CERTIFICATE FOR CLAIM ON ACCOUNT. (a) The commission shall revoke a license, approval, or registration issued under this chapter or Chapter 1102 if: (1) the commission makes a payment from the real estate recovery trust account under Subcha…

Sec. 1101.656. ADDITIONAL DISCIPLINARY AUTHORITY OF COMMISSION. (a) In addition to any other authority under this chapter, the commission may suspend or revoke a license, place on probation a person whose license has been suspended, or reprimand a license holder if the license ho…

Sec. 1101.6561. SUSPENSION OR REVOCATION OF EDUCATIONAL PROGRAM. The commission may suspend or revoke the approval to offer a program or course of study issued under Subchapter G or take any other disciplinary action authorized by this chapter if the provider of an educational pr…

Sec. 1101.657. HEARING. (a) If the commission proposes to deny, suspend, or revoke a person's license or certificate of registration, the person is entitled to a hearing conducted by the State Office of Administrative Hearings. (b) Repealed by Acts 2007, 80th Leg., R.S., Ch. 1411…

Sec. 1101.658. APPEAL. (a) A person aggrieved by a ruling, order, or decision under this subchapter is entitled to appeal to a district court in the county in which the administrative hearing was held. (b) An appeal is governed by the procedures under Chapter 2001, Government Cod…

Sec. 1101.659. REFUND. (a) Subject to Subsection (b), the commission may order a person regulated by the commission to pay a refund to a consumer as provided in an agreement resulting from an informal settlement conference or an enforcement order instead of or in addition to impo…

Sec. 1101.660. INFORMAL PROCEEDINGS. (a) The commission by rule shall adopt procedures governing informal disposition of a contested case. (b) Rules adopted under this section must: (1) provide the complainant and the license holder, certificate holder, or regulated entity an opp…

Sec. 1101.661. FINAL ORDER. The commission may issue a final order in a proceeding under this subchapter or Subchapter O regarding a person whose license has expired. Added by Acts 2007, 80th Leg., R.S., Ch. 1411 (S.B. 914), Sec. 24, eff. September 1, 2007. Amended by: Acts 2015,…

Sec. 1101.662. TEMPORARY SUSPENSION. (a) The presiding officer of the commission shall appoint a disciplinary panel consisting of three commission members to determine whether a person's license to practice under this chapter should be temporarily suspended. (b) If the disciplina…

Sec. 1101.663. REAPPLYING AFTER REVOCATION, SURRENDER, OR DENIAL. A person whose license or registration has been revoked, a person who has surrendered a license or registration issued by the commission, or a person whose application for a license or registration has been denied …

Sec. 1101.664. FAILURE TO APPEAR; COSTS. (a) If a respondent receives proper notice of a contested case hearing but does not appear in person at the hearing, the administrative law judge may conduct the hearing or enter an order, as the administrative law judge determines appropr…

Sec. 1101.701. IMPOSITION OF ADMINISTRATIVE PENALTY. (a) The commission may impose an administrative penalty on a person who violates this chapter or a rule adopted or order issued by the commission under this chapter. (b) The commission shall periodically review the commission's…

Sec. 1101.7015. DELEGATION OF EXECUTIVE DIRECTOR'S AUTHORITY. The commission may authorize the executive director to delegate to another commission employee the executive director's authority to act under this subchapter. Added by Acts 2003, 78th Leg., ch. 1276, Sec. 14A.160(d), …

Sec. 1101.702. AMOUNT OF PENALTY. (a) The amount of an administrative penalty may not exceed $5,000 for each violation. Each day a violation continues or occurs may be considered a separate violation for purposes of imposing a penalty. (b) In determining the amount of the penalty…

Sec. 1101.703. NOTICE OF VIOLATION AND PENALTY. If, after investigation of a possible violation and the facts relating to that violation, the executive director determines that a violation has occurred, the executive director may issue a notice of violation stating: (1) a brief s…

Sec. 1101.704. PENALTY TO BE PAID OR HEARING REQUESTED. (a) Not later than the 20th day after the date the person receives the notice under Section 1101.703, the person may: (1) accept the executive director's determination, including the recommended administrative penalty; or (2…

Sec. 1101.705. HEARING; DECISION. (a) If the person requests a hearing, the administrator shall set a hearing and give notice of the hearing to the person. (b) An administrative law judge of the State Office of Administrative Hearings shall conduct the hearing. The administrative…

Sec. 1101.706. NOTICE OF ORDER. The executive director shall give notice of the commission's order to the person. The notice must: (1) include the findings of fact and conclusions of law, separately stated; (2) state the amount of any penalty imposed; (3) inform the person of the…

Sec. 1101.707. OPTIONS FOLLOWING DECISION: PAY OR APPEAL. (a) Not later than the 30th day after the date the commission's order becomes final, the person shall: (1) pay the administrative penalty; or (2) file a petition for judicial review contesting the occurrence of the violati…

Sec. 1101.708. COLLECTION OF PENALTY. (a) If the person does not pay the administrative penalty and the enforcement of the penalty is not stayed, the executive director may refer the matter to the attorney general for collection of the penalty. (b) If the attorney general notifie…

Sec. 1101.7085. DETERMINATION BY COURT. (a) If the court sustains the determination that a violation occurred, the court may uphold or reduce the amount of the administrative penalty and order the person to pay the full or reduced amount of the penalty. (b) If the court does not …

Sec. 1101.709. REMITTANCE OF PENALTY AND INTEREST. (a) If after judicial review the administrative penalty is reduced or is not upheld by the court, the court shall remit the appropriate amount, plus accrued interest, to the person if the person paid the penalty. (b) The interest…

Sec. 1101.710. ADMINISTRATIVE PROCEDURE. A proceeding under this subchapter is subject to Chapter 2001, Government Code. Added by Acts 2007, 80th Leg., R.S., Ch. 1411 (S.B. 914), Sec. 35, eff. September 1, 2007. SUBCHAPTER P. OTHER PENALTIES AND ENFORCEMENT PROVISIONS

Sec. 1101.751. INJUNCTIVE ACTION BROUGHT BY COMMISSION. (a) In addition to any other action authorized by law, the commission may bring an action in its name to enjoin a violation of this chapter or a commission rule. (b) To obtain an injunction under this section, the commission…