According to the Texas Real Estate Commission Code of Professional Ethics and Conduct, which statement is NOT true?

The statement that a license holder's conduct must be illegal in order to be considered unethical is not true. Ethics and legality are distinct concepts; something can be legal but still unethical. The ethical guidelines set forth by the Texas Real Estate Commission emphasize that license holders are expected to adhere to high ethical standards in addition to complying with the law.

Understanding this distinction is crucial in the real estate profession, where ethical behavior often extends beyond mere compliance with legal requirements. A license holder is not only accountable for acting within the law but also for upholding the ethical standards established by TREC's Canons of Professional Conduct. This reinforces the integrity of the profession and helps build trust with clients, consumers, and the public. In essence, the reality that legal conduct can still be deemed unethical is a cornerstone of maintaining professionalism in real estate practice.