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

(a) Except as otherwise provided by the Act or Rules, a broker or salesperson 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 salesperson.

(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 salesperson may not share a commission or fees with an unlicensed corporation or limited liability company created by a licensee for the purpose of collecting a commission or fees on behalf of the licensee.

(d) It is not a violation of this section for a licensee to rebate or pay a portion of the licensee's commission or fees to a party in the transaction. However, no commission or fees may be paid to any party to the transaction in a manner which would mislead a broker, lender, title company or governmental agency regarding the real estate transaction or the financial resources or obligations of the buyer. A licensee who intends to pay a portion of the licensee's fee or commission to a party the licensee does not represent must obtain the consent of the party represented by the licensee prior to 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

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