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A Texas consumer files a formal complaint with TREC against a license holder for alleged misrepresentation. Which statement BEST describes TREC's authority in resolving this complaint?

Correct Answer

C) TREC may investigate, refer contested hearings to SOAH, and retain final authority to impose disciplinary action including fines up to $5,000 per violation per day, suspension, or revocation

Under Texas Occupations Code §1101.351 and §1101.652, TREC has broad disciplinary authority including the power to suspend, revoke, reprimand, or place a license on probation, and may impose administrative penalties up to $5,000 per violation per day under §1101.701. For contested cases, TREC refers hearings to the State Office of Administrative Hearings (SOAH) under the Administrative Procedure Act, but TREC retains final authority to accept, modify, or reject SOAH's proposal for decision and issue the final disciplinary order.

Answer Options
A
TREC may investigate but cannot impose disciplinary action until a Texas district court issues an order authorizing suspension or revocation
B
TREC may investigate and impose fines up to $1,000 per violation but must refer all suspension and revocation decisions to the Texas Attorney General
C
TREC may investigate, refer contested hearings to SOAH, and retain final authority to impose disciplinary action including fines up to $5,000 per violation per day, suspension, or revocation
D
TREC may investigate and recommend disciplinary action, but all final disciplinary decisions must be issued by the State Office of Administrative Hearings

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Related Topics & Key Terms

Key Terms:

trec_powerscomplaint_processdisciplinary_authoritychapter_1101
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