Texas Administrative Code

Texas Administrative Code

TITLE 22	EXAMINING BOARDS
PART 23	TEXAS REAL ESTATE COMMISSION
CHAPTER 535	GENERAL PROVISIONS
SUBCHAPTER N	SUSPENSION AND REVOCATION OF LICENSURE
RULE §535.147	Splitting Fee with Unlicensed Person

Historical

Texas Register

(a) Except as otherwise provided by the Act or Commission rules, a broker or sales agent may not share a commission or fees with any person who engages in acts for which a license is required and is not actively licensed as a broker or sales agent.

(b) An unlicensed person may share in the income earned by a business entity licensed as a broker or exempted from the licensing requirements under the Act if the person engages in no acts for which a license is required and does not lead the public to believe that the person is in the real estate brokerage business.

(c) A broker or sales agent may not share a commission or fees with an unlicensed business entity created by a license holder for the purpose of collecting a commission or fees on behalf of the license holder.

(d) A license holder may rebate or pay a portion of the license holder's fee or commission to a party in the transaction when the sales agent has the written consent of the sales agent's sponsoring broker and the party represented by the license holder. A commission or fee may not be paid to any party to the transaction in a manner that misleads a broker, lender, title company, or governmental agency regarding the real estate transaction or the financial resources or obligations of the buyer. A license holder who intends to pay a portion of the license holder's fee or commission to a party the license holder does not represent must obtain the written consent of the party represented by the license holder before making the payment.

Source Note: The provisions of this §535.147 adopted to be effective January 1, 1976; amended to be effective March 11, 1981, 6 TexReg 725; amended to be effective October 1, 2000, 25 TexReg 8646; amended to be effective August 31, 2004, 29 TexReg 8297; amended to be effective January 1, 2011, 35 TexReg 11691; amended to be effective January 1, 2015, 39 TexReg 9669; amended to be effective June 11, 2023, 48 TexReg 2948