By: Carona H.B. No. 589
73R2788 JMM-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of real estate property management.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 2, The Real Estate License Act (Article
1-5 6573a, Vernon's Texas Civil Statutes), is amended by amending
1-6 Subdivision (2) and adding Subdivision (8) to read as follows:
1-7 (2) "Real estate broker" means a person who, for
1-8 another person and for a fee, commission, or other valuable
1-9 consideration, or with the intention or in the expectation or on
1-10 the promise of receiving or collecting a fee, commission, or other
1-11 valuable consideration from another person:
1-12 (A) sells, exchanges, purchases, rents, or
1-13 leases real estate;
1-14 (B) offers to sell, exchange, purchase, rent, or
1-15 lease real estate;
1-16 (C) negotiates or attempts to negotiate the
1-17 listing, sale, exchange, purchase, rental, property management, or
1-18 leasing of real estate;
1-19 (D) lists or offers or attempts or agrees to
1-20 list real estate for sale, rental, lease, exchange, or trade;
1-21 (E) appraises or offers or attempts or agrees to
1-22 appraise real estate;
1-23 (F) auctions, or offers or attempts or agrees to
1-24 auction, real estate;
2-1 (G) buys or sells or offers to buy or sell, or
2-2 otherwise deals in options on real estate;
2-3 (H) aids, attempts, or offers to aid in locating
2-4 or obtaining for purchase, rent, or lease any real estate;
2-5 (I) procures or assists in the procuring of
2-6 prospects for the purpose of effecting the sale, exchange, lease,
2-7 management, or rental of real estate; or
2-8 (J) procures or assists in the procuring of
2-9 properties for the purpose of effecting the sale, exchange, lease,
2-10 management, or rental of real estate.
2-11 (8) "Property management" means marketing, leasing,
2-12 providing physical, administrative, or financial maintenance of, or
2-13 providing overall management of real property for another person or
2-14 supervising the marketing, leasing, maintenance, or management of
2-15 real property for another person under an agreement in exchange for
2-16 a fee, commission, compensation, or other valuable consideration.
2-17 SECTION 2. Section 3, The Real Estate License Act (Article
2-18 6573a, Vernon's Texas Civil Statutes), is amended to read as
2-19 follows:
2-20 Sec. 3. Exemptions. The provisions of this Act shall not
2-21 apply to any of the following persons and transactions, and each
2-22 and all of the following persons and transactions are hereby
2-23 exempted from the provisions of this Act:
2-24 (1) an attorney at law licensed in this state or in
2-25 any other state;
2-26 (2) an attorney in fact under a duly executed power of
2-27 attorney authorizing the consummation of a real estate transaction;
3-1 (3) a public official in the conduct of his official
3-2 duties;
3-3 (4) a person calling the sale of real estate by
3-4 auction under the authority of a license issued by this state
3-5 provided the person does not perform any other act of a real estate
3-6 broker or salesman as defined by this Act;
3-7 (5) a person acting under a court order or under the
3-8 authority of a will or a written trust instrument;
3-9 (6) a salesperson employed by an owner in the sale of
3-10 structures and land on which said structures are situated, provided
3-11 such structures are erected by the owner in the due course of his
3-12 business;
3-13 (7) an on-site manager of an apartment complex;
3-14 (8) transactions involving the sale, lease, or
3-15 transfer of any mineral or mining interest in real property;
3-16 (9) an owner or his employees in renting or leasing
3-17 his own real estate whether improved or unimproved;
3-18 (10) transactions involving the sale, lease, or
3-19 transfer of cemetery lots; <or>
3-20 (11) transactions involving the renting, leasing, or
3-21 management of hotels or motels; or
3-22 (12) a person engaged in property management for the
3-23 owner of real estate or the owner's agent if the person's
3-24 activities are limited to:
3-25 (A) delivering to another person a lease
3-26 application, a lease, or an amendment to a lease;
3-27 (B) receiving from another person a lease
4-1 application, a lease, an amendment to a lease, a security deposit,
4-2 a rental payment, or a related payment to be delivered and made
4-3 payable to a property manager or owner;
4-4 (C) showing a rental unit to another person or
4-5 executing a lease or rental agreement under the direct instructions
4-6 of the broker if the broker is responsible for the actions of the
4-7 person showing the unit or executing the lease;
4-8 (D) providing information to another person
4-9 about a rental unit, a lease, an application for a lease, the
4-10 status of a security deposit, or the payment of rent; or
4-11 (E) assisting in the performance of property
4-12 management by engaging in administrative, clerical, or maintenance
4-13 tasks.
4-14 SECTION 3. This Act takes effect September 1, 1993.
4-15 SECTION 4. The importance of this legislation and the
4-16 crowded condition of the calendars in both houses create an
4-17 emergency and an imperative public necessity that the
4-18 constitutional rule requiring bills to be read on three several
4-19 days in each house be suspended, and this rule is hereby suspended.