Texas § IN.2651.3015 - PROHIBITED GROUNDS FOR REJECTION, DELAY, OR DENIAL

§ IN.2651.3015. PROHIBITED GROUNDS FOR REJECTION, DELAY, OR DENIAL

PROHIBITED GROUNDS FOR REJECTION, DELAY, OR DENIAL. (a) Except as provided by Subsection (b) or (c), the department may not reject, delay, or deny a notice of appointment under Section 2651.009 based wholly or partly on a pending department audit or complaint investigation or a pending disciplinary action against a title insurance agent or appointing title insurance company that has not been finally closed or resolved by a final order issued by the commissioner on or before the date on which the notice is received by the department. (b) The department may reject a notice of appointment under Section 2651.009 if the department determines that the appointing title insurance company or the title insurance agent intentionally made a material misstatement in the notice of appointment or attempted to have the appointment approved by fraud or misrepresentation. (c) The department may delay approval of a notice of appointment if: (1) the title insurance agent or the appointing title insurance company is the subject of a criminal investigation or prosecution; or (2) the deputy commissioner of the title division of the department makes a good faith determination that there is a credible suspicion that there are ongoing or continuing acts of fraud by the title insurance agent or appointing title insurance company. (d) Except as provided by Subsection (e) or (f), the department may not delay or deny a renewal application under Section 2651.007 based wholly or partly on a department audit or complaint investigation of, or disciplinary or enforcement action against, an applicant or license holder that is pending and has not been finally closed or resolved by a final order issued by the commissioner on or before the date on which the application is complete. (e) The department may deny a renewal application under Section 2651.007 if the department determines that the applicant or license holder intentionally made a material misstatement in the renewal application or attempted to obtain the license renewal by fraud or misrepresentation. (f) The department may delay a renewal application if: (1) the applicant or license holder is the subject of a criminal investigation or prosecution; or (2) the deputy commissioner of the title division of the department makes a good faith determination that there is a credible suspicion that there are ongoing or continuing acts of fraud by the applicant or license holder. Added by Acts 2011, 82nd Leg., R.S., Ch. 1011 (H.B. 2408 ), Sec. 5, eff. September 1, 2011.