2019 -- H 5773

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LC002001

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2019

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A N   A C T

RELATING TO BUSINESSES AND PROFESSIONS - REAL ESTATE APPRAISERS

CERTIFICATION ACT

     

     Introduced By: Representative Michael Morin

     Date Introduced: February 28, 2019

     Referred To: House Corporations

     It is enacted by the General Assembly as follows:

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     SECTION 1. Section 5-20.7-20 of the General Laws in Chapter 5-20.7 entitled "Real

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Estate Appraiser Certification Act" is hereby amended to read as follows:

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     5-20.7-20. Revocation or suspension of certification or license.

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     (a) The director of the department of business regulation may, upon his or her own

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motion or by recommendation of the board, and shall, upon the verified complaint, in writing, of

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any person setting forth a cause under this section, ascertain the facts and, if warranted, hold a

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hearing for the suspension or revocation of a certification or license.

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     (b) No action may be taken pursuant to this section against a person who is certified or

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licensed in accordance with the provisions of this chapter unless the action is commenced within:

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     (1) Five (5) years of the issuance of the certified appraisal report; or

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     (2) Two (2) years of any judicial proceeding in which the appraiser provided testimony

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related to the appraisal assignment, whichever period expires later.

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     (c) The director has the power to refuse a certification or license for cause or to suspend

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or revoke a certification or license where it has been obtained by false representation, or by

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fraudulent act or conduct, or where the holder of a certificate in performing or attempting to

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perform any of the acts mentioned in this chapter, is found guilty of:

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     (1) Procuring or attempting to procure certification or licensing pursuant to this chapter

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by knowingly making a false statement, knowingly submitting false information, refusing to

 

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provide complete information in response to a question in an application for certification or

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license or through any form of fraud or misrepresentation;

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     (2) Failing to meet the minimum qualifications established by this chapter;

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     (3) Paying money other than provided for by this chapter to any member or employee of

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the board or department to procure a certification under this chapter;

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     (4) A conviction, including a conviction based upon a plea of guilty or nolo contendere,

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of a crime, which is substantially related to the qualifications, functions, and duties of a person

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developing appraisals and communicating appraisals to others or convicted of any felony;

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     (5) An act or omission involving dishonesty, fraud, or misrepresentation with the intent to

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benefit the certificate holder or another person or with the intent to substantially injure another,

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mislead or defraud another person;

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     (6) Failure or refusal without good cause to exercise reasonable diligence in developing

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an appraisal, preparing an appraisal report or communicating an appraisal;

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     (7) Accepting an appraisal assignment when the employment itself is contingent upon the

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appraiser reporting a predetermined estimate, analysis or opinion, or where the fee to be paid is

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contingent upon the opinion, conclusion, or valuation reached, or upon the consequence resulting

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from the appraisal assignment; or

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     (8) Entry of a final civil judgment against the person on grounds of fraud,

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misrepresentation, or deceit in the making of an appraisal.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO BUSINESSES AND PROFESSIONS - REAL ESTATE APPRAISERS

CERTIFICATION ACT

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     This act would preclude the Rhode Island department of business regulation from pursing

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any administrative action against a certified appraiser more than five (5) years after the certified

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appraised issues a certified appraisal report, or more than two (2) years after any judicial

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proceeding in which the appraisal provided testimony related to the appraisal assignment,

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whichever period expires later.

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     This act would take effect upon passage.

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