Free Texas State Law study sheet
Texas Contracts and Promulgated Forms Texas Real Estate Exam Cheat Sheet
Quick answerThis 9-item Texas state-law area tests current promulgated contracts, forms and addenda, the Statute of Frauds, and seller disclosures. Expect form-selection, deadline, exemption, and legal-drafting-boundary questions rather than simple form-number recall.
Source-checked Texas State Law portion
Texas law controls this page. Do not replace a TREC or Texas rule with a generic national principle.
Name the official subtopic first. Then identify the governing rule, statute, form, paragraph, deadline, or exemption before choosing an answer.
Exam scope
What Pearson tests
Verified against the official content outline.
- A. Promulgated Contracts, Forms, and Addenda: mandatory and voluntary use, Rule 537.11 exceptions, form selection, current 2026 forms, informational items, amendments, notices, and legal-drafting limits
- B. Statute of Frauds: the writing and signature rule for a real estate sale and a lease longer than one year under Business and Commerce Code Section 26.01
- C. Seller Disclosure Requirements: Property Code Section 5.008 coverage, exemptions, delivery timing, the seven-day late-delivery remedy, Form 55-1, and the separate 2026 Seller's Water Disclosure
Decision traps
Common traps to catch
Check the governing source material.
- The Broker-Lawyer Committee drafts and revises standardizable forms. TREC adopts them by rule.
- A TREC form is not automatically mandatory. Rule 537.1 distinguishes mandatory use from voluntary use.
- Rule 537.11 is broader than the slogan 'fill in the blanks only.' It permits informational items and a narrow conspicuous change made at a principal's specific written instruction, but not license-holder-created legal language or advice.
- No TREC mandatory form does not mean any form is acceptable. Rule 537.11(a)(4) limits the permitted sources.
- A form number and its effective date are different. TREC No. 20-19 is dated May 4, 2026 and became mandatory July 1, 2026.
- The current resale contract sends the earnest money and option fee to the escrow agent within three days, subject to its weekend and Legal Holiday extension.
- The original option fee is credited to the sales price at closing. Only an additional option fee in Amendment 39-11 carries a will-or-will-not-credit choice.
- The statute of frauds is an enforceability rule, not proof that fraud occurred and not a declaration that every defective writing is void.
- Section 5.008 applies to residential real property with not more than one dwelling unit, subject to listed transfer exemptions.
- Seller non-occupancy is not a universal Section 5.008 exemption. A new residence that has not previously been occupied is a listed exemption.
- A late Section 5.008 notice gives the purchaser seven days after receipt to terminate for any reason. That is separate from a negotiated option period.
- TREC Form 55-1 is approved for voluntary use, while the statutory disclosure obligation can still be mandatory when Section 5.008 applies.
- The Seller's Water Disclosure, TREC No. 61-0, is a separate mandatory-use form under Rule 537.68. Do not merge it with Form 55-1.
Essential vocabulary
Texas Contracts and Promulgated Forms terms to know
- Promulgated form
- A form adopted by TREC for required use by license holders when the rule applies.
- Mandatory use
- Required license-holder use of a TREC form when its transaction facts fit and no Rule 537.11 exception applies.
- Voluntary use
- A TREC-approved form a license holder may use but is not required to use.
- Informational item
- A statement that completes a blank, discloses factual information, or provides instructions under Rule 537.1.
- Addendum
- A document that adds terms or required subject matter to the contract package.
- Amendment
- The parties' later written agreement changing an existing contract.
- Notice
- A written communication that provides required information or exercises an existing contractual right.
- Earnest money
- Money delivered under the contract and handled under the contract's escrow, default, and release provisions.
- Option fee
- The negotiated payment tied to the buyer's unrestricted termination right under Paragraph 5.
- Termination-option period
- The contractual period during which the buyer may terminate under the option provision.
- Statute of Frauds
- The enforceability rule requiring specified agreements to be written and signed by the person to be charged.
- Party to be charged
- The person against whom enforcement of the promise or agreement is sought.
- Seller's Disclosure Notice
- The Section 5.008 property-condition notice required in covered residential transfers.
- Seller's Water Disclosure
- The separate TREC disclosure about groundwater, wells, groundwater rights, and surface-water rights.
Check your recall
Can you answer these without notes?
Open each card only after you commit to an answer.
1What are the four Rule 537.11 form-use exceptions?
Solely a principal; a U.S. agency requires another form; an owner-prepared or owner-required attorney form; or no mandatory TREC form exists and a qualifying authorized form is used.
2Which two real estate agreements does Section 26.01 name?
A contract for the sale of real estate and a lease of real estate for a term longer than one year.
3What happens when a required Section 5.008 notice arrives after contract formation?
The purchaser may terminate for any reason within seven days after receiving it.
4Who drafts standardizable Texas real estate contract forms, and who adopts them?
The Broker-Lawyer Committee drafts and revises them. TREC adopts them by rule.
5What signature does the Statute of Frauds require?
The person to be charged, or someone lawfully authorized to sign for that person, must sign.
6Is TREC Form 55-1 mandatory whenever Section 5.008 applies?
No. The statutory notice is required in covered transfers, but Rule 537.62 approves Form 55-1 for voluntary use.
7What may a license holder add without practicing law?
Informational items, plus a conspicuous addition or deletion specifically instructed in writing by a principal. The license holder may not invent or recommend legal language.
8Where are the option fee and earnest money delivered under TREC No. 20-19?
To the escrow agent within three days after the effective date, subject to the form's weekend and Legal Holiday extension.
9Is the Seller's Water Disclosure the same as Form 55-1?
No. TREC No. 61-0 is a separate mandatory-use disclosure under Rule 537.68.
Use the sheet, then retrieve
Turn recognition into recall.
Read the full lesson when a definition is fuzzy. Then answer the topic questions without looking back at this sheet.
Primary sources
Checked .
- Pearson VUE Texas Real Estate Content Outlines
- TREC Rules, Chapter 537
- Texas Administrative Code, Title 22, Part 23
- Texas Occupations Code Chapter 1101
- Texas Business and Commerce Code Chapter 26
- Texas Property Code Chapter 5
- TREC Contracts and Forms
This is exam-prep education, not legal, tax, or transaction advice. Confirm the current law, form, and official exam materials before relying on a rule in practice.