Current as of April 14, 2021 | Updated by FindLaw Staff
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(a) To be eligible for a license under this chapter, a business entity must:
(1) designate one of its managing officers as its broker for purposes of this chapter; and
(2) provide proof that the entity maintains errors and omissions insurance with a minimum annual limit of $1 million for each occurrence if the designated broker owns less than 10 percent of the business entity.
(b) A business entity may not act as a broker unless the entity's designated broker is a licensed individual broker in active status and good standing according to the commission's records.
(b-1) In determining whether a designated broker is in good standing under this section, the commission may consider:
(1) the disciplinary history of:
(A) the broker; or
(B) any business entity for which the broker serves or previously served as a designated broker; and
(2) the payment status of any amount owed to the commission by:
(A) the broker; or
(B) any business entity for which the broker serves or previously served as a designated broker.
(c) A business entity that receives compensation on behalf of a license holder must be licensed as a broker under this chapter.
Cite this article: FindLaw.com - Texas Occupations Code - OCC § 1101.355. Additional General Eligibility Requirements for Business Entities - last updated April 14, 2021 | https://codes.findlaw.com/tx/occupations-code/occ-sect-1101-355.html
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