Texas complaint handling: investigations, hearings, and appeals

Texas complaint intake and investigation

The Texas Real Estate Commission (TREC) enforces the Real Estate License Act. A signed, written complaint with reasonable cause requires investigation of a license holder. TREC or its staff may also initiate a complaint. An anonymous complaint cannot be the basis for initiating action against a license holder. A complaint submitted later than the incident's fourth anniversary cannot support an investigation of that license holder.

Staff assigns a case number and acknowledges a signed, written complaint within seven days. Within thirty days after receipt, staff sends the complainant its evaluation, which may identify an investigation or lack of jurisdiction. Filing does not establish a violation, and withdrawal requires TREC's consent.

Evidence, priorities, and outcomes

TREC prioritizes consumer complaints using risk factors such as immediate harm and severity. A complaint about a sales agent's work for a broker also reaches the sponsoring broker at the time of the alleged violation, for the limited purpose of examining involvement and professional responsibility. This is not a finding of guilt.

A request for information normally requires a response within fourteen days after receipt; staff may grant an extension for good cause on written request. A complainant's nonresponse may close the complaint; a respondent's nonresponse may itself violate the Act. Investigations may use documents or field work. Absent good cause, field investigations must finish within six months after opening. Status notices go out at least every 120 days, subject to the Act's authorized undercover-investigation exception.

Investigation materials are confidential during the case, with authorized disclosures including the respondent and the State Office of Administrative Hearings (SOAH). TREC protects the complainant's identity to the extent possible. On dismissal or final resolution, the materials become subject to disclosure under the applicable public-information provisions.

Staff dismisses matters outside its jurisdiction, without merit, with no violation, or without enough evidence to prove a hearing case. Notice follows within fourteen days to the complainant and notified respondents. Other outcomes include an educational advisory letter or an agreed order resolving a violation.

Hearings and appeals

Absent good cause, a case not dismissed or resolved by advisory letter or agreed order must be set for a SOAH hearing within one year after filing. An administrative law judge hears disputed evidence and ordinarily issues a proposal for decision; TREC issues the final agency order. Judicial review concerns a final agency decision and follows required administrative procedures, rather than replacing the investigation. The supplied excerpts do not specify appeal filing deadlines, so this lesson teaches the general distinction without a numerical appeal deadline.