State RegulationsTX specificDifficulty 1/5
A person served with an emergency cease and desist order under TIC Chapter 83 requests a hearing. What must that person show at the hearing?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under TIC 83.053, a person affected by an emergency cease and desist order is entitled to request a hearing to contest the order, and under TIC 83.054 the hearing proceeds as a contested case under Chapter 2001, Government Code, at which the person requesting the hearing must show why the order should not be affirmed. The burden therefore sits on the person challenging the order rather than on the department to re-prove its case from scratch, which is why a licensee should assemble its documentation before requesting the hearing.
Why the other options are wrong
- B) Bad faith is not the standard; the statute asks why the order should not be affirmed.
- C) Texas Register publication is a rulemaking requirement, not a prerequisite to an emergency cease and desist order.
- D) Holding a license in another state does not authorize the business of insurance in Texas.
Memory hook
Ask for the hearing and you carry the burden: show why it should not be affirmed.