TREC TREC Complaint and Enforcement Process 2

Question 1

If TREC finds a violation after investigation, which of the following is NOT a possible disciplinary action?

Accepted Answer

Criminal imprisonment directly imposed by TREC

Answer

Reprimand

Answer

Suspension of license

Answer

Revocation of license

Question 2

The Texas Real Estate Recovery Trust Account is funded by:

Accepted Answer

A portion of license fees paid by real estate licensees

Answer

Federal HUD grants

Answer

Fines collected from disciplined licensees

Answer

Voluntary contributions from brokers

Question 3

A consumer who obtains a judgment against a Texas licensee and cannot collect may apply to the Real Estate Recovery Trust Account for reimbursement up to:

Accepted Answer

$50,000 per transaction, up to $100,000 per licensee

Answer

$10,000 per transaction

Answer

$25,000 per claim with no cap

Answer

$5,000 per transaction

Question 4

When a payment is made from the Real Estate Recovery Trust Account on behalf of a licensee, TREC must:

Accepted Answer

Automatically revoke the licensee's license until the amount is repaid

Answer

Allow the licensee to continue practicing immediately

Answer

Notify the licensee but take no further action

Answer

Reduce the licensee's commission authority

Question 5

Which of the following actions by a licensee could result in immediate license suspension without a prior hearing?

Accepted Answer

Conviction of a felony or a crime involving moral turpitude

Answer

Late renewal of a license

Answer

Failure to complete CE hours on time

Answer

Advertising without a team designation

Question 6

A licensee who disagrees with a TREC disciplinary order may:

Accepted Answer

Appeal the order through the State Office of Administrative Hearings (SOAH)

Answer

Ignore the order if they believe it is unjust

Answer

File a complaint against the TREC commissioner personally

Answer

Only appeal after their license expires