TREC Promulgated Contract Practice Test 2025 – Comprehensive All-in-One Guide to Exam Success!

Question: 1 / 400

Which exception allows to deviate from using TREC promulgated forms in real estate transactions?

If the seller is also a licensed real estate agent

If a licensed attorney drew up a custom contract for a client

The option stating that a licensed attorney drew up a custom contract for a client is the correct choice because Texas law allows attorneys to prepare their own legal contracts, including those used in real estate transactions. When an attorney is engaged to draft a contract, they can tailor the document specifically to the needs and circumstances of their client, which may require unique terms not covered by the standard TREC promulgated forms.

Utilizing TREC forms is typically encouraged for their consistency and legal compliance with state laws; however, when a qualified attorney is involved, the need for adherence to these standardized forms can be bypassed in favor of custom agreements that may better suit the specific situation at hand.

In contrast, the other options do not provide valid exceptions as they are not based on the legal ability to create alternative contracts. For example, having a seller who is also a licensed real estate agent does not grant authority to deviate from TREC forms. Similarly, transactions involving cash payments or homes priced under market value do not constitute reasons for not using standardized forms; the standard contracts are still applicable regardless of payment type or property value. Thus, engaging an attorney for custom contracts is the only legitimate exception mentioned.

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If the transaction involves only cash payments

If the home is priced under market value

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