Contracts and Contract Forms
Which form is required
Occupations Code §1101.155 requires a license holder to use TREC-promulgated forms when negotiating a transaction for which a form exists. A non-TREC form may be used only if prepared by an attorney or the parties agree in writing. TREC forms are changed by addenda - Amendment, Third Party Financing Addendum, Sale of Other Property by Buyer, Non-Realty Items, HOA Addendum, MUD and PID notices - not by unauthorized rewriting of the body.
Landmarks in the One to Four Family Residential Contract (Resale)
Parties, property, sales price and cash portion, financing, earnest money and option fee, seller's disclosures, title policy, property condition, brokers' fees, closing, special provisions, notices, and the termination option. The option fee buys an unrestricted right to terminate within the option period, but the buyer must give written notice; silence waives the right. The option fee is credited to the price or refunded at closing.
Legal framework traps
Statute of Frauds (Property Code §5.021): a contract to convey, a conveyance, or a lease over one year is unenforceable unless written and signed by the party to be charged. Electronic signatures are valid under UETA. Acceptance is effective on receipt; a counteroffer terminates the original offer. Equitable title passes at contract formation, legal title at closing. Seller's disclosure (§5.008) must reach the buyer before signing or shortly after; if late, the buyer gets a limited statutory window to terminate.
Rule of thumb
Signed by the party to be charged. Worked example - buyer signs and delivers; seller orally says "we have a deal" but never signs: no enforceable contract against the seller.