(a) Except as provided by Subsection (g), as a requirement for a manufacturer’s, retailer’s, broker’s, installer’s, or salesperson’s license, a person who was not licensed or registered with the department or a predecessor agency on September 1, 1987, must, not more than 12 months before applying for the person’s first license under this chapter, attend and successfully complete eight hours of instruction in the law, including instruction in consumer protection regulations.
(a-1) If the applicant is not an individual, the applicant must have at least one related person who satisfies the requirements of Subsection (a). If that applicant is applying for a retailer’s license, the related person must be a management official who satisfies the requirements of Subsections (a) and (a-2) for each retail location operated by the applicant.

(a-2) An applicant for a retailer’s license must complete four hours of specialized instruction relevant to the sale and exchange of manufactured homes. The instruction under this subsection is in addition to the instruction required under Subsection (a).
(a-3) An applicant for an installer’s license must complete four hours of specialized instruction relevant to the installation of manufactured homes. The instruction under this subsection is in addition to the instruction required under Subsection (a).
(a-4) An applicant for a joint installer-retailer license must comply with Subsections (a-2) and (a-3), for a total of eight hours of specialized instruction. The instruction under this subsection is in addition to the instruction required under Subsection (a).
(b) Except in the case of an applicant for a salesperson’s license, successful completion of the course of instruction is a prerequisite to obtaining the license.
(c) An applicant for a salesperson’s license may apply for a license without having completed the course of instruction if the person successfully completes the course not later than the 90th day after the date of the person’s licensure. If the person fails to complete such course successfully and in a timely manner, the person’s license is automatically suspended until the person successfully completes the course.
(d) The course of instruction must be offered at least quarterly.
(e) The board shall adopt rules relating to course content and approval.
(f) An applicant for an initial installer’s license shall receive a license on a provisional basis. The person’s provisional status remains in effect until a sufficient number of installations completed by the person have been inspected by the department and found not to have any identified material violations of the department’s rules. The board, with the advice of the advisory committee to be established under § 1201.251, shall adopt rules to establish what constitutes a sufficient number of installations under this subsection.
(g) Subsections (a), (a-2), (a-3), and (a-4) do not apply to a license holder who applies:
(1) for a license for an additional business location; or
(2) to renew or reinstate a license.
(h) An examination must be a requirement of successful completion of any initial required course of instruction under this section. The period needed to complete an examination under this subsection may not be used to satisfy the minimum education requirements under Subsection (a), (a-2), (a-3), or (a-4). If the examination failure rate exceeds 25 percent, the board shall:
(1) review the examination and the examination procedures; and
(2) adopt rules intended to maintain the historical passage rate for the examination.