Title OC, Occupations Code

Sec. 1802.005. RULES. The commission shall adopt rules necessary to administer and enforce this chapter. Added by Acts 2023, 88th Leg., R.S., Ch. 626 (H.B. 4416), Sec. 2, eff. September 1, 2023. SUBCHAPTER B. LICENSE REQUIREMENTS

Sec. 1802.051. LICENSE REQUIRED. (a) A person may not act as an auctioneer or associate auctioneer in this state unless the person holds a license issued by the department under this chapter. (b) Repealed by Acts 2015, 84th Leg., R.S., Ch. 777 (H.B. 2481), Sec. 15, eff. September…

Sec. 1802.052. ELIGIBILITY FOR AUCTIONEER'S LICENSE. (a) An individual is eligible for an auctioneer's license if the individual: (1) is at least 18 years of age; (2) is a citizen of the United States or a legal alien; (3) either: (A) passes a written or oral examination demonstr…

Sec. 1802.053. ELIGIBILITY FOR ASSOCIATE AUCTIONEER LICENSE. An individual is eligible for an associate auctioneer license if the individual: (1) is a citizen of the United States or a legal alien; and (2) works under the direct supervision of an auctioneer licensed under this ch…

Sec. 1802.054. APPLICATION FOR LICENSE. (a) An applicant for a license must apply to the department on a form and in a manner prescribed by the department. The application must be accompanied by: (1) any fee required for the auctioneer education and recovery fund authorized under…

Sec. 1802.055. APPLICATION FOR EXAMINATION. An individual who meets the requirements for an auctioneer's license may apply to the department to take the license examination. The application must be accompanied by the application fee. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Se…

Sec. 1802.056. LICENSE EXAMINATION. (a) The department shall prepare, recognize, administer, or arrange for the administration of a license examination designed to establish: (1) an applicant's general knowledge of the auction business; (2) the principles of conducting an auction…

Sec. 1802.058. REEXAMINATION. An applicant who fails the license examination may reapply to take the examination. If the applicant fails the examination twice during a one-year period, the applicant may not reapply for one year. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1…

Sec. 1802.101. AUCTIONEER ADVISORY BOARD. The advisory board shall advise the commission on educational matters, operational matters, and common practices within the auction industry. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999. Amended by Acts 2003, 78th Leg., ch. …

Sec. 1802.102. APPOINTMENT OF ADVISORY BOARD; MEMBERSHIP; ELIGIBILITY. (a) The advisory board consists of seven members appointed as follows: (1) four members who are licensed auctioneers appointed by the presiding officer of the commission, with the commission's approval; (2) on…

Sec. 1802.103. TERMS; VACANCIES. Advisory board members serve staggered six-year terms. If a vacancy occurs during a member's term, the presiding officer of the commission, with the commission's approval, shall appoint a replacement to serve for the remainder of the term. Acts 19…

Sec. 1802.104. PRESIDING OFFICER. The presiding officer of the commission, with the commission's approval, shall appoint a member of the advisory board to serve as presiding officer of the board. The presiding officer shall serve a term of two years. Acts 1999, 76th Leg., ch. 388…

Sec. 1802.106. COMPENSATION. A member of the advisory board may not receive compensation from the department for serving on the advisory board. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999. Amended by: Acts 2015, 84th Leg., R.S., Ch. 777 (H.B. 2481), Sec. 12, eff. Se…

Sec. 1802.107. MEETINGS. The advisory board shall meet at the call of the presiding officer of the commission or the executive director. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999. Amended by: Acts 2013, 83rd Leg., R.S., Ch. 1048 (H.B. 3038), Sec. 10, eff. June 14,…

Sec. 1802.108. CIVIL LIABILITY. A member of the advisory board is not liable in a civil action for an act performed in good faith while performing duties as an advisory board member. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999. SUBCHAPTER C-1. PRACTICE STANDARDS

Sec. 1802.121. WRITTEN CONTRACTS. (a) An auctioneer who agrees to provide services to a person shall provide to the person a written contract with the terms of the agreement. (b) Each contract for the services of an auctioneer must include information required by the commission b…

Sec. 1802.122. STANDARDS OF PRACTICE. The commission by rule shall adopt standards for the practice of auctioneers and associate auctioneers, including standards for: (1) the maintenance and use of a trust or escrow account for funds belonging or owed to another; and (2) required…

Sec. 1802.151. FUND. The auctioneer education and recovery fund is a trust fund with the comptroller for the payment of claims against auctioneers licensed under this chapter. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999.

Sec. 1802.152. MANAGEMENT OF FUND. (a) The department is the manager of the fund and shall maintain books and records of the fund. (b) The department, as manager, is entitled to compensation for reasonable and necessary costs and expenses for the management of the fund. The depar…

Sec. 1802.153. ADDITIONAL FEES. (a) In addition to any other fees required by this chapter, an applicant entitled to receive a license under this chapter must pay a fee before the department issues the license. (b) If the balance in the fund on August 31 of a year is less than $3…

Sec. 1802.155. LIABILITY. (a) The fund or the department is not liable to a consumer for a recovery from the fund if the assets of the fund are insufficient to pay the amount awarded. (b) If the fund contains insufficient assets to pay the consumer: (1) the department shall recor…

Sec. 1802.202. CONSUMER CLAIMS. (a) A person who deals with an auctioneer licensed under this chapter and who is aggrieved by an action of the auctioneer as a result of a violation of a contract made with the auctioneer may initiate a claim against the fund by filing with the dep…

Sec. 1802.203. HEARING. If the amount determined by the department under Section 1802.202 is disputed by the auctioneer, the department shall refer the matter to the State Office of Administrative Hearings for a hearing on the disputed claim. Acts 1999, 76th Leg., ch. 388, Sec. 1…

Sec. 1802.204. APPEAL. A party may appeal a decision of the commission in the manner provided for a contested case under Chapter 2001, Government Code. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1999. Amended by Acts 2003, 78th Leg., ch. 816, Sec. 4.012, eff. Sept. 1, 2…

Sec. 1802.205. PAYMENT OF CLAIM. (a) If the department's determination under Section 1802.202 is not disputed by the auctioneer, the department shall pay the claim from the fund, subject to Section 1802.206. (b) If a hearing is held on the department's determination, the departme…

Sec. 1802.206. PAYMENT LIMITS. (a) The department may not pay a single aggrieved party more than $15,000 for all claims arising from a single auction. (b) Repealed by Acts 2023, 88th Leg., R.S., Ch. 626 (H.B. 4416), Sec. 26(9), eff. September 1, 2023. (c) The total payment of cla…

Sec. 1802.207. REIMBURSEMENT; INTEREST. (a) If the department pays a claim against an auctioneer, the auctioneer shall: (1) reimburse the fund immediately or agree in writing to reimburse the fund on a schedule to be determined by rule of the commission; and (2) immediately pay t…

Sec. 1802.208. SUBROGATION. If the department pays a claim against an auctioneer, the department is subrogated to all rights of the aggrieved party against the auctioneer to the extent of the amount paid to the aggrieved party. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1,…

Sec. 1802.209. EFFECT ON DISCIPLINARY PROCEEDINGS. (a) This subchapter and Section 1802.252 do not limit the commission's or executive director's authority to take disciplinary action against a license holder for a violation of this chapter or a rule adopted under this chapter. (…

Sec. 1802.251. DISCIPLINARY ACTION; ADMINISTRATIVE PENALTY. The commission or executive director may take any action or impose a penalty under Subchapter F or G, Chapter 51, against an auctioneer or associate auctioneer for: (1) violating this chapter or a rule adopted under this…

Sec. 1802.252. REVOCATION FOR CLAIM ON FUND. (a) The commission may revoke a license issued under this chapter if the department makes a payment from the fund as the result of an action of the license holder. (b) The commission may probate an order revoking a license. (c) An auct…

Sec. 1802.253. HEARING BY STATE OFFICE OF ADMINISTRATIVE HEARINGS. (a) If the department proposes to deny an application for a license or take a disciplinary action or impose an administrative penalty against a license holder, the applicant or license holder is entitled to a hear…

Sec. 1802.301. PRACTICING WITHOUT LICENSE; OFFENSE. (a) A person commits an offense if the person acts as an auctioneer or an associate auctioneer without a license. (b) An offense under this section is a Class B misdemeanor. Acts 1999, 76th Leg., ch. 388, Sec. 1, eff. Sept. 1, 1…

Sec. 1802.302. FRIVOLOUS CLAIM; OFFENSE. (a) A person commits an offense if the person intends to benefit personally or to harm another and the person: (1) institutes under this chapter a claim in which the person knows the person has no interest; or (2) institutes under this cha…