HB 153

1	A bill to be entitled
2	An act relating to home inspection services; creating s.
3	501.935, F.S.; providing definitions; providing
4	requirements for practice; providing exemptions; providing
5	prohibited acts and penalties; requiring liability
6	insurance; exempting certain persons from duty to provide
7	repair cost estimates; providing limitations; providing
8	for enforcement of violations; providing an effective
9	date.
10
11	Be It Enacted by the Legislature of the State of Florida:
12
13	Section 1.  Section 501.935, Florida Statutes, is created
14	to read:
15	501.935  Home inspection services; requirements;
16	exemptions; prohibited acts and penalties; insurance;
17	limitations and enforcement.--
18	(1)  DEFINITIONS.--As used in this section, the term:
19	(a)  "Home" means any residential real property, or
20	manufactured or modular home, that is a single-family dwelling,
21	duplex, triplex, quadruplex, condominium unit, or cooperative
22	unit. The term does not include the common areas of condominiums
23	or cooperatives.
24	(b)  "Home inspector" means any person who provides or
25	offers to provide a home inspection for a fee or other
26	compensation.
27	(c)  "Home inspection" means a limited visual examination
28	of one or more of the readily accessible installed systems and
29	components of a home, including, but not limited to, the
30	structure, electrical system, HVAC system, roof covering,
31	plumbing system, interior components, exterior components, and
32	site conditions that affect the structure, for the purpose of
33	providing a written professional opinion of the condition of the
34	home.
35	(2)  REQUIREMENTS FOR PRACTICE.--
36	(a)  A person may not work as a home inspector unless he or
37	she:
38	1.  Has successfully completed a course of study of not
39	less than 80 hours, which requires a passing score on a valid
40	examination in home inspections, and which includes, but is not
41	limited to, each of the following components of a home:
42	structure; electrical system; roof covering; plumbing system;
43	interior components; exterior components; and site conditions
44	that affect the structure, and heating, ventilation, and cooling
45	systems.
46	2.  Annually completes 8 hours of continuing education
47	related to home inspections.
48	3.  Discloses to the consumer in writing prior to
49	contracting for or commencing a home inspection:
50	a.  That the home inspector meets the education and
51	examination requirements of this subsection.
52	b.  That the home inspector maintains the commercial
53	general liability insurance policy as required by this section.
54	c.  The scope and any exclusions of the home inspection.
55	d.  A statement of experience that includes either the
56	approximate number of home inspections the home inspector has
57	performed for a fee or the number of years of experience as a
58	home inspector.
59	e.  That home inspectors are not regulated by any state
60	agency, but any violation of this section constitutes a
61	deceptive and unfair trade practice under part II of this
62	chapter.
63	(b)  A business entity may not provide or offer to provide
64	home inspection services unless each of the home inspectors
65	employed by the business entity satisfies all the requirements
66	of this section.
67	(c)  A business entity may not use, in connection with the
68	name or signature of the business entity, the title "home
69	inspectors" to describe the business entity's services unless
70	each of the home inspectors employed by the business entity
71	satisfies all the requirements of this section.
72	(3)  EXEMPTIONS.--The following persons are not required to
73	comply with this section when acting within the scope of
74	practice authorized by such license, except when such persons
75	are conducting, producing, disseminating, or charging a fee for
76	a home inspection or otherwise operating within the scope of
77	this section:
78	(a)  A construction contractor licensed under chapter 489.
79	(b)  An architect licensed under chapter 481.
80	(c)  An engineer licensed under chapter 471.
81	(d)  A building code administrator, plans examiner, or
82	building code inspector licensed under part XII of chapter 468.
83	(e)  A certified real estate appraiser, licensed real
84	estate appraiser, or registered real estate appraiser licensed
85	under part II of chapter 475.
86	(f)  An inspector whose report is being provided to, and is
87	solely for the benefit of, the Federal Housing Administration or
88	the Veterans Administration.
89	(g)  An inspector conducting inspections for wood-
90	destroying organisms on behalf of a licensee under chapter 482.
91	(h)  A firesafety inspector certified under s. 633.081.
92	(i)  An insurance adjuster licensed under part VI of
93	chapter 626.
94	(j)  An officer appointed by the court.
95	(k)  A master septic tank contractor licensed under part
96	III of chapter 489.
97	(l)  A certified energy auditor performing an energy audit
98	of any home or building conducted under chapter 366 or rules
99	adopted by the Public Service Commission.
100	(m)  A mobile home manufacturer, dealer, or installer
101	regulated or licensed under chapter 320 and any employees or
102	agents of the manufacturer, dealer, or installer.
103	(4)  PROHIBITED ACTS; PENALTIES.--
104	(a)  A home inspector, a company that employs a home
105	inspector, or a company that is controlled by a company that has
106	a financial interest in a company employing a home inspector may
107	not:
108	1.  Perform or offer to perform, prior to closing, for any
109	additional fee, any repairs to a home on which the inspector or
110	the inspector's company has prepared a home inspection report.
111	This paragraph does not apply to a home warranty company that is
112	affiliated with or retains a home inspector to perform repairs
113	pursuant to a claim made under a home warranty contract.
114	2.  Inspect for a fee any property in which the inspector
115	or the inspector's company has any financial or transfer
116	interest.
117	3.  Offer or deliver any compensation, inducement, or
118	reward to the owner of the inspected property, or any broker or
119	agent therefor, for the referral of any business to the
120	inspector or the inspector's company.
121	4.  Accept an engagement to make an omission or prepare a
122	report in which the inspection itself, or the fee payable for
123	the inspection, is contingent upon the conclusions in the
124	report, the preestablished findings, or the close of escrow.
125	(b)  Any person who violates any provision of this
126	subsection commits:
127	1.  A misdemeanor of the second degree for a first
128	violation, punishable as provided in s. 775.082 or s. 775.083.
129	2.  A misdemeanor of the first degree for a second
130	violation, punishable as provided in s. 775.082 or s. 775.083.
131	3.  A felony of the third degree for a third or subsequent
132	violation, punishable as provided in s. 775.082, s. 775.083, or
133	s. 775.084.
134	(5)  INSURANCE.--A home inspector must maintain a
135	commercial general liability insurance policy in an amount of
136	not less that $300,000.
137	(6)  REPAIR COST ESTIMATES.--Home inspectors are not
138	required to provide estimates related to the cost of repair of
139	an inspected property.
140	(7)  STATUTE OF LIMITATIONS.--Chapter 95 governs when an
141	action to enforce an obligation, duty, or right arising under
142	this section must be commenced.
143	(8)  ENFORCEMENT OF VIOLATIONS.--Any violation of this
144	section constitutes a deceptive and unfair trade practice,
145	punishable as provided in part II of this chapter.
146	Section 2.  This act shall take effect January 1, 2007.

CODING: Words stricken are deletions; words underlined are additions.