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Trela Trec RulesLicense_categoriesMEDIUM

Under TREC rules, what is the primary benefit to a broker of placing their license on inactive status rather than allowing it to expire?

Correct Answer

A) The broker retains their license and accumulated license history, making reactivation simpler than reapplying from scratch

Under TREC rules (22 TAC §535.55), placing a license on inactive status preserves the license and the broker's licensing history. When the broker is ready to return to practice, they can reactivate by meeting current requirements rather than completing the full application process as a new applicant. Note that CE requirements still apply at renewal even for inactive licensees — inactive status does not waive CE obligations.

Answer Options
A
The broker retains their license and accumulated license history, making reactivation simpler than reapplying from scratch
B
The broker is fully exempt from all continuing education requirements for the duration of inactive status
C
The broker may continue to collect commissions on transactions initiated before going inactive
D
The broker may sponsor up to three sales agents while on inactive status

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Related Topics & Key Terms

Key Terms:

inactive_statuslicense_preservationCE_exemptionreactivation
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