(a)  The department may deny, censure, suspend, or revoke a registration of an appraisal management company issued under this chapter, levy fines or impose civil penalties not to exceed five thousand dollars ($5,000) per violation, if in the opinion of the department, an appraisal management company is attempting to perform, has performed, or has attempted to perform any of the following acts:

(1)  The appraisal management company has filed an application for registration that, as of its effective date or as of any date after filing, contained any statement that, in light of the circumstances under which it was made, is false or misleading with respect to any material fact;

(2)  The appraisal management company has violated or failed to comply with any provision of this chapter, or any rule adopted by the department;

(3)  The appraisal management company is permanently or temporarily enjoined by any court of competent jurisdiction from engaging in or continuing any conduct or practice involving any aspect of the real estate appraisal management business;

(4)  The appraisal management company or a controlling person thereof is the subject of an order of the department or any other state appraiser regulatory agency denying, suspending, or revoking that person‘s license as a real estate appraiser;

(5)  The appraisal management company acted as an appraisal management company while not properly registered with the department;

(6)  The appraisal management company has failed to pay the proper filing or renewal fee under this chapter;

(7)  The appraisal management company has demonstrated incompetence, untrustworthiness, or conduct or practices that render the applicant unfit to perform appraisal management services; or

(8)  The appraisal management company has committed any of the prohibited practices set forth in this chapter or in the department’s regulations.

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Terms Used In Rhode Island General Laws 5-20.9-9

  • Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
  • Appraisal: A determination of property value.
  • Appraisal: means an analysis, opinion, or conclusion relating to the nature, quality, value, or utility of specified interests in, or aspects of, identified real estate. See Rhode Island General Laws 5-20.9-2
  • Appraisal management company: means :

    (i)  In connection with valuing properties collateralizing mortgage loans or mortgages incorporated into a securitization, any external third party authorized either by a creditor of a consumer credit transaction secured by a consumer's principal dwelling, or by an underwriter of or other principal in the secondary mortgage markets, that oversees a network or panel of more than fifteen (15) certified or licensed appraisers in Rhode Island or twenty-five (25) or more nationally, excluding those appraisers who do not provide appraisal services for covered transactions, within a given year to:

    (A)  Recruit, select, and retain appraisers;

    (B)  Contract with licensed and certified appraisers to perform appraisal assignments;

    (C)  Manage the process of having an appraisal performed, including providing administrative duties such as receiving appraisal orders and appraisal reports, submitting completed appraisal reports to creditors and underwriters, collecting fees from creditors and underwriters for services provided, and reimbursing appraisers for services performed; or

    (D)  Review and verify the work of appraisers. See Rhode Island General Laws 5-20.9-2

  • Controlling person: means :

    (i)  An owner, officer, or director of a corporation, partnership, or other business entity seeking to offer appraisal management services in this state; or

    (ii)  An individual employed, appointed, or authorized by an appraisal management company who has the authority to enter into a contractual relationship with clients for the performance of appraisal management services and has the authority to enter into agreements with independent appraisers for the performance of residential real estate appraisal services; or

    (iii)  An individual who possesses, directly or indirectly, the power to direct or cause the direction of the management or policies of an appraisal management company. See Rhode Island General Laws 5-20.9-2

  • Department: means the department of business regulation. See Rhode Island General Laws 5-20.9-2
  • Director: means the director of the department of business regulation. See Rhode Island General Laws 5-20.9-2
  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • person: may be construed to extend to and include co-partnerships and bodies corporate and politic. See Rhode Island General Laws 43-3-6
  • real estate: may be construed to include lands, tenements, and hereditaments and rights thereto and interests therein. See Rhode Island General Laws 43-3-10

(b)  The department shall provide written notice of the denial, suspension, or revocation of a registration under this chapter. Any party aggrieved by the department’s decision regarding registration issuance or renewal may, within ten (10) days of the decision, appeal the matter to the director by submitting a written request for a formal hearing to be conducted in accordance with the provisions of § 5-20.9-18.

History of Section.
P.L. 2017, ch. 14, § 1; P.L. 2017, ch. 26, § 1; P.L. 2023, ch. 163, § 2, effective June 20, 2023; P.L. 2023, ch. 164, § 2, effective June 20, 2023.