In Texas, which organization creates the promulgated contract forms that licensees must use?
Question & Answer
Review the question and all answer choices
Texas Association of Realtors (TAR)
A is incorrect because the Texas Association of Realtors (TAR) creates forms but these are not promulgated by the state. TAR forms are voluntary unless specifically adopted by TREC, making them optional rather than mandatory for licensees.
Texas Real Estate Commission (TREC)
Texas Bar Association
C is incorrect because the Texas Bar Association represents attorneys, not real estate licensees. While attorneys may review contracts, they don't create the forms that real estate licensees are required to use.
Texas Land Title Association
D is incorrect because the Texas Land Title Association represents title professionals and creates forms related to title insurance and closing, not general real estate contracts used by licensees.
Why is this correct?
B is correct because TREC (Texas Real Estate Commission) is the state regulatory agency with the statutory authority to promulgate (create and mandate the use of) contract forms that licensees must use in Texas real estate transactions.
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