2019 Maryland Code
Business Occupations and Professions
Title 16 - Real Estate Appraisers, Appraisal Management Companies, and Home Inspectors.
Subtitle 7 - Prohibited Acts; Penalties
§ 16-701. Grounds for denials, reprimands, suspensions, revocations, and penalties -- Real estate appraisers

    (a)    (1)    Except as provided in paragraph (2) of this subsection, subject to the hearing provisions of § 16–602 of this title, the Commission may deny a real estate appraisal license to any applicant, deny a certificate to any applicant, reprimand any real estate appraiser licensee, reprimand any certificate holder, or suspend or revoke a real estate appraisal license or certificate if the real estate appraisal applicant, license holder, or certificate holder:

            (i)    fraudulently or deceptively obtains or attempts to obtain a license or certificate for the applicant, licensee, certificate holder, or for another;

            (ii)    fraudulently or deceptively uses a license or certificate;

            (iii)    commits an act or makes an omission in the provision of real estate appraisal services or certified real estate appraisal services that is an act of dishonesty, fraud, or misrepresentation if the applicant, licensee, or certificate holder intends:

                1.    to benefit substantially the applicant, licensee, certificate holder, or another person; or

                2.    to injure substantially another person;

            (iv)    is held civilly or criminally liable for deceit, fraud, or misrepresentation in the provision of real estate appraisal services or certified real estate appraisal services;

            (v)    under the laws of the United States or of any state, is convicted of:

                1.    a felony; or

                2.    a misdemeanor that is directly related to the fitness and qualification of the applicant, licensee, or certificate holder to provide real estate appraisal services;

            (vi)    pays a finder’s fee or a referral fee to a person who lacks a license;

            (vii)    makes a false or misleading statement in:

                1.    the part of a written appraisal report about professional qualifications; or

                2.    testimony about professional qualifications;

            (viii)    violates the confidential nature of governmental records to which a licensee or certificate holder gained access in the provision of real estate appraisal services or certified real estate services;

            (ix)    accepts a fee for providing an independent appraisal service in violation of this title;

            (x)    fails to exercise reasonable diligence to develop, prepare, or communicate an appraisal;

            (xi)    is negligent or incompetent in developing, preparing, or communicating an appraisal;

            (xii)    violates any other provision of this title; or

            (xiii)    violates any regulation adopted under this title.

        (2)    Subject to the hearing provisions of § 16–602 of this title, the Commission shall deny a real estate appraisal license or certificate to an applicant if the applicant:

            (i)    has had an appraiser license, certificate, or credential revoked in any jurisdiction within the 5–year period immediately preceding the date of application;

            (ii)    has been convicted of or has entered a plea of guilty or nolo contendere to a felony in a domestic or foreign court:

                1.    during the 5–year period immediately preceding the date of application; or

                2.    at any time preceding the date of application if the felony involves an act of fraud or dishonesty, a breach of trust, or money laundering; or

            (iii)    fails to demonstrate good character or general fitness to provide real estate appraisal services in an honest and ethical manner.

        (3)    (i)    Except as provided in paragraph (2) of this subsection, instead of or in addition to reprimanding a licensee or a certificate holder or suspending or revoking a license or a certificate under this subsection, the Commission may impose a penalty not exceeding $5,000 for each violation.

            (ii)    To determine the amount of the penalty imposed, the Commission shall consider:

                1.    the seriousness of the violation;

                2.    the harm caused by the violation;

                3.    the good faith of the licensee; and

                4.    any history of previous violations by the licensee.

        (4)    The Commission shall pay any penalty collected under this subsection into the General Fund of the State.

    (b)    Except as provided in subsection (a)(2) of this section, the Commission shall consider the following facts in the granting, denial, renewal, suspension, or revocation of a license or certificate or the reprimand of a licensee or certificate holder when an applicant, certificate holder, or licensee is convicted of a felony or a misdemeanor described in subsection (a)(1)(v) of this section:

        (1)    the nature of the crime;

        (2)    the relationship of the crime to the activities authorized by the license or certificate;

        (3)    with respect to a felony, the relevance of the conviction to the fitness and qualification of the applicant, licensee, or certificate holder to provide real estate appraisal services;

        (4)    the length of time since the conviction; and

        (5)    the behavior and activities of the applicant, licensee, or certificate holder before and after the conviction.