1. (a) In this section, "party" has the meaning assigned by Section 1101.551.
2. (b) This section prevails over any other law, including common law.
3. (c) This section does not diminish a broker's responsibility for the acts or omissions of a sales agent associated with or acting for the broker.

4. (d) A party is not liable for a misrepresentation or a concealment of a material fact made by a license holder in a real estate transaction unless the party:

   1. (1) knew of the falsity of the misrepresentation or concealment; and
   2. (2) failed to disclose the party's knowledge of the falsity of the misrepresentation or concealment.

5. (e) A license holder is not liable for a misrepresentation or a concealment of a material fact made by a party to a real estate transaction unless the license holder:

   1. (1) knew of the falsity of the misrepresentation or concealment; and
   2. (2) failed to disclose the license holder's knowledge of the falsity of the misrepresentation or concealment.
6. (f) Repealed by Acts 2025, 89th Leg., R.S., Ch. 1172 (S.B. 1968), Sec. 13(2), eff. January 1, 2026.

Added by Acts 2001, 77th Leg., ch. 1421, Sec. 2, eff. June 1, 2003.

Acts 2015, 84th Leg., R.S., Ch. 1158 (S.B. 699), Sec. 90, eff. January 1, 2016.

Acts 2025, 89th Leg., R.S., Ch. 1172 (S.B. 1968), Sec. 13(2), eff. January 1, 2026.