The Texas real estate industry may be quite complex and challenging at times, and for a licensed real estate agent, you may unintentionally find yourself in a tough predicament. Although you are simply abiding by the law in a professional manner, complicated disputes between homeowners or other individuals may put your career and livelihood at risk. A formal complaint by a client is a serious issue that should be addressed and handled by an experienced real estate attorney. The Texas real estate license defense attorneys at The Farah Law Firm will work diligently to defend our clients and get their complaint dismissed.

The Real Estate License Act is a set of guidelines that establishes the standard of conduct for all licenses; the act is carried through by the Texas Real Estate Commission, which is also known as TREC. Per § 1101.652 of the Real Estate License Act, some of the most common means for the commission to suspend or revoke a license is shown below:

The commission may suspend or revoke a license issued under this chapter or take other disciplinary action authorized by this chapter if the license holder, while engaged in real estate brokerage:

(1)  acts negligently or incompetently;

(2)  engages in conduct that is dishonest or in bad faith or that demonstrates untrustworthiness;

(3)  makes a material misrepresentation to a potential buyer concerning a significant defect, including a latent structural defect, known to the license holder that would be a significant factor to a reasonable and prudent buyer in making a decision to purchase real property;

(4)  fails to disclose to a potential buyer a defect described by Subdivision (3) that is known to the license holder;

(5)  makes a false promise that is likely to influence a person to enter into an agreement when the license holder is unable or does not intend to keep the promise;

(6)  pursues a continued and flagrant course of misrepresentation or makes false promises through an agent or sales agent, through advertising, or otherwise;

(7)  fails to make clear to all parties to a real estate transaction the party for whom the license holder is acting;

(8)  receives compensation from more than one party to a real estate transaction without the full knowledge and consent of all parties to the transaction;

(9)  fails within a reasonable time to properly account for or remit money that is received by the license holder and that belongs to another person;

(10)  commingles money that belongs to another person with the license holder’s own money

If a broker is found to have participated in any of the listed practices by the TREC, some punishments may be to “suspend or revoke a license [and also] place on probation a person whose license has been suspended”. The commission also have the ability to set an administrative fine of up to $1000 on the broker, if needed. The accused broker is given the opportunity to stand before the TREC or hearing officer; regardless of the verdict, per Real Estate License Act § 1101.658, a licensed broker is able to appeal the decision at hand to a district court in which the original TREC hearing took place.

The Texas real estate license defense attorneys at The Farah Law Firm understand that unfair circumstances may hinder a real estate agent’s ability to practice their profession. With experienced attorneys that have years of experience dealing with defense cases, our lawyers will work hard to help you with your case!

Sources:

the Real Estate License Act