The Texas Real Estate Commission (“TREC”), Texas’ regulating body for real estate brokers and sales agents (collectively, “license holders”), recently amended 22 TAC §535.148 to explicitly prohibit license holders from participating in “Pay-to-Play” programs with real estate settlement service providers. “Pay-to-Play” refers to the practice of requiring payment to access a brokerage and its sales agents by being included in a preferred provider program, thus giving that service provider improved access to potential business from the license holder’s clients. The amendments were adopted under Texas Occupations Code §1101.151, which authorizes TREC to adopt and enforce rules necessary to administer Chapters 1101 and 1102. The amendments were adopted August 13, 2019 and implemented September 2, 2019.

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