1. (a) For purposes of §1101.652(a)(3) of the Act:

   1. (1) "a person related to the license holder within the first degree by consanguinity" means a license holder's parent or child; and

   2. (2) "license holder" includes a licensee acting on behalf of:

      1. (A) the license holder's spouse;
      2. (B) a business entity in which the licensee is more than a 10% owner; or
      3. (C) a trust for which the licensee acts as trustee or of which the licensee or the licensee's spouse, parent or child is a beneficiary.
2. (b) A license holder engaging in a real estate transaction on his or her own behalf or in a capacity defined in subsection (a) of this section, is obligated to disclose in writing that he or she is a licensed real estate broker or salesperson in any contract of sale or rental agreement or in any other writing given prior to entering into any contract of sale or rental agreement.
3. (c) A license holder acting on his or her own behalf or in a capacity described under subsection (a) of this section or §1101.652(a)(3) of the Act shall not use the license holder's expertise to the disadvantage of a person with whom the license holder deals.

Source Note:The provisions of this §535.144 adopted to be effective January 1, 1976; amended to be effective March 22, 1978, 3 TexReg 823; amended to be effective August 6, 1980, 5 TexReg 2923; amended to be effective October 20, 1983, 8 TexReg 3998; amended to be effective May 27, 1998, 23 TexReg 5437; amended to be effective October 1, 2000, 25 TexReg 8646; amended to be effective May 24, 2006, 31 TexReg 4198; amended to be effective January 1, 2011, 35 TexReg 11691; amended to be effective May 30, 2013, 38 TexReg 3347.