unit 1 commission duties and powers

Question 1

t/f

the real estate commission must investigate every complaint against a license holder

Answer 1

false
the commission may initiate investigations on its own or in response to a signed written complaint. it does not investigate anonymous phone calls

Question 2

t/f

TREC has the power to make laws, rules, and regulations.

Answer 2

false

Question 3

t/f
once a complaint is ruled on by TREC, no other action can take place. appeals of the TREC decision may be made to an appeals court.

Answer 3

false

Question 4

t/f

TREC is authorized to subpoena documentation and witnesses.

Answer 4

true

Question 5

t/f

the real estate broker-lawyer committee has the power to promulgate forms

Answer 5

true

Question 6

t/f

TREC approves and promulgates contracts forms

Answer 6

true

Question 7

t/f

the texas real estate commission consists of three brokers and six general members.

Answer 7

false

Question 8

t/f

a consumer’s action to recover funds from the trust account must be taken within two years of the cause of action

Answer 8

true

Question 9

t/f

the maximum amount to be paid from the trust account per violation is $50,000

Answer 9

true

Question 10

t/f

the primary purpose of the texas real estate license act is to protect consumers

Answer 10

true

Question 11

what is the primary purpose of TRELA?

Answer 11

protect the public

Question 12

what law governs real estate brokerage activities in texas?

Answer 12

TRELA

Question 13

who administers the law governing real estate brokerage activities in texas?

Answer 13

TREC

Question 14

how many members does TREC have?

Answer 14

9

Question 15

how many broker members does TREC have?

Answer 15

6

Question 16

how many public members does TREC have?

Answer 16

3

Question 17

the members of TREC are appointed by

Answer 17

the governor with advice and consent of the sentate

Question 18

TREC has the power to do all of the following except

Answer 18

mediate commission disputes between license holders or brokerage firms

Question 19

TREC has the power to do all of the following except

Answer 19

settle disputes between license holders or brokerage firms

Question 20

TREC has the power to do all of the following except

Answer 20

recommend individual license holders to the public

Question 21

TREC has the power to do all of the following except

Answer 21

send license holders to jail

Question 22

how many members does the Broker-Lawyer committee have?

Answer 22

13

Question 23

how many broker members does the broker-lawyer committee have

Answer 23

6

Question 24

how many lawyer members does the broker-lawyer committee have

Answer 24

6

Question 25

contract forms are written by

Answer 25

the broker-lawyer committee

Question 26

a "promulgated" form is generally mandatory for use by real estate license holders, whereas an "approved" form is voluntary for use by real estate license holders. who promulgates or approves contract forms?

Answer 26

texas real estate commission

Question 27

all of the following are correct regarding investigations and hearings by TREC except

Answer 27

the commission may initiate investigations in response to anonymous telephone calls

Question 28

if after investigation, the commission may do all of the following except

Answer 28

send a license holder to jail

Question 29

if a principal broker has his license suspended, the broker must do all of the following except

Answer 29

notify all the firm's sales agents that they have 30 days to find a new sponsoring broker

Question 30

TREC can issue administrative penalties not to exceed

Answer 30

$5,000 for violations

Question 31

in texas, a person who acts as a real estate license holder without an active real estate license is guilty of

Answer 31

a class a misdermeanor

Question 32

in texas, a person who acts as a real estate license holder without an active real estate license may be punished by a fine up to

Answer 32

$4,000

Question 33

consumers must apply to the real estate recovery trust account within

Answer 33

two years of the cause of action

Question 34

the maximum that may be paid out of the real estate recovery trust account per transaction

Answer 34

$50,000

Question 35

the maximum that may be paid out of the real estate recovery trust account per license holder is

Answer 35

$100,000