Provides actions for damages against real estate appraisers, appraisal management companies, and real estate appraisal companies. (8/1/19)
The bill directly impacts the legal landscape for real estate appraisers by setting clear timeframes under which lawsuits must be initiated. This change is intended to protect appraisers from indefinite liability by limiting how long an aggrieved party has to bring forth a claim. Furthermore, it specifies that these new regulations will apply to all existing and future actions, thereby standardizing the framework for civil liability in real estate appraisals across Louisiana. The bill includes exceptions for cases involving fraud and actions initiated by the Louisiana Real Estate Appraisers Board, indicating a nuanced approach to liability in specific circumstances.
Senate Bill 191, introduced by Senator Chabert, establishes specific peremptive and prescriptive periods for civil actions against real estate appraisers and appraisal companies in Louisiana. Under this legislation, any lawsuit for damages against real estate appraisers or appraisal management companies must be filed within one year from the date of the alleged incident or its discovery. However, a maximum limit of three years is set for filing these actions, regardless of when they are discovered. These provisions are meant to streamline legal processes regarding appraisal services and clarify the timeline for potential claims.
The sentiment surrounding SB 191 appears to be largely positive, particularly among those in the real estate profession who believe that this bill will provide much-needed clarity and protections within the industry. Advocates argue that by defining the limits on legal actions, the bill encourages professionalism and efficiency in the appraisal field. However, there may also be concerns from consumer advocates about limiting the timeframe for claims against appraisers, as this could potentially hinder consumers' ability to seek justice in cases of malpractice or negligence.
Notable points of contention regarding SB 191 revolve around the balance between protecting industry professionals and ensuring consumer rights. While many stakeholders in the real estate sector support the bill for its provisions that safeguard appraisers against prolonged exposure to lawsuits, some critics argue it may unnecessarily restrict recourse for individuals harmed by appraisal errors. This has sparked debate on the adequacy of existing protections for consumers and whether the bill might unintentionally favor the interests of real estate professionals over those of the public.