Texas § OC.1101.204 - COMPLAINT INVESTIGATION AND DISPOSITION

§ OC.1101.204. COMPLAINT INVESTIGATION AND DISPOSITION

COMPLAINT INVESTIGATION AND DISPOSITION. (a) The commission or commission staff may file a complaint and conduct an investigation as necessary to enforce this chapter, Chapter 1102 , or a rule adopted under those chapters. (b) The commission shall investigate the actions and records of a license holder if: (1) a person submits a signed, written complaint; and (2) the complaint and any evidence presented with the complaint provide reasonable cause for an investigation. (c) The commission may not conduct an investigation of a person licensed under this chapter or Chapter 1102 in connection with a complaint submitted later than the fourth anniversary of the date of the incident that is the subject of the complaint. (d) The commission shall promptly provide a written notice to a person licensed under this chapter or Chapter 1102 who is the subject of an investigation unless after deliberation the commission decides against notification. (d-1) Notwithstanding Section 1101.2051 , the commission may provide the notice required by Subsection (d) to a person licensed under this chapter or Chapter 1102 and who is associated with the license holder who is the subject of the investigation. The commission shall adopt rules to specify the persons who may receive notice under this subsection. (e) Notwithstanding any other provision of this chapter, an undercover or covert investigation may not be conducted unless the commission expressly authorizes the investigation after considering the circumstances and determining that the investigation is necessary to implement this chapter. (f) An investigation or other action against a person licensed under this chapter or Chapter 1102 may not be initiated on the basis of an anonymous complaint. (g) Repealed by Acts 2007, 80th Leg., R.S., Ch. 1411, Sec. 59(1), eff. September 1, 2007. (h) The commission shall ensure that the commission gives priority to the investigation of a complaint filed by a consumer and an enforcement case resulting from the consumer complaint. The commission shall assign priorities and investigate complaints using a risk-based approach based on the: (1) degree of potential harm to a consumer; (2) potential for immediate harm to a consumer; (3) overall severity of the allegations in the complaint; (4) number of license holders potentially involved in the complaint; (5) previous complaint history of the license holder; and (6) number of potential violations in the complaint. (i) If the commission determines at any time that an allegation made or formal complaint submitted by a person is inappropriate or without merit, the commission shall dismiss the complaint and no further action may be taken. The commission may delegate to commission staff the duty to dismiss complaints described by this subsection. Added by Acts 2001, 77th Leg., ch. 1421, Sec. 2, eff. June 1, 2003. Amended by Acts 2003, 78th Leg., ch. 1276, Sec. 14A.154(b), 14A.157(a), eff. Sept. 1, 2003. Amended by: Acts 2005, 79th Leg., Ch. 825 (S.B. 810 ), Sec. 2, eff. September 1, 2005. Acts 2007, 80th Leg., R.S., Ch. 1411 (S.B. 914 ), Sec. 13, eff. September 1, 2007. Acts 2007, 80th Leg., R.S., Ch. 1411 (S.B. 914 ), Sec. 59(1), eff. September 1, 2007. Acts 2019, 86th Leg., R.S., Ch. 334 (S.B. 624 ), Sec. 4, eff. September 1, 2019. Acts 2025, 89th Leg., R.S., Ch. 1172 (S.B. 1968 ), Sec. 3, eff. January 1, 2026.