Texas Administrative Code

Historical Rule for the Texas Administrative Code

TITLE 22	EXAMINING BOARDS
PART 23	TEXAS REAL ESTATE COMMISSION
CHAPTER 535	PROVISIONS OF THE REAL ESTATE LICENSE ACT
SUBCHAPTER N	SUSPENSION AND REVOCATION OF LICENSURE
RULE §535.156	Dishonesty; Bad Faith; Untrustworthiness

(a) A licensee's relationship with the licensee's principal is that of a fiduciary. A licensee shall convey to the principal all known information which would affect the principal's decision on whether or not to accept or reject offers; however, the licensee shall have no duty to submit offers to the principal after the principal has accepted an offer.

(b) The licensee must put the interest of the licensee's principal above the licensee's own interest. A licensee must deal honestly and fairly with all parties; however, the licensee represents only the principal and owes a duty of fidelity to such principal.

(c) A licensee has an affirmative duty to keep the principal informed at all times of significant information applicable to the transaction or transactions in which the licensee is acting as agent for the principal.

(d) A licensee has a duty to convey accurate information to members of the public with whom the licensee deals.

Source Note: The provisions of this §535.156 adopted to be effective January 1, 1976; amended to be effective May 24, 1976, 1 TexReg 1253; amended to be effective June 9, 1981, 6 TexReg 1922; amended to be effective May 27, 1998, 23 TexReg 5437.