Supreme Court Denies Further Stay in FTC Case Against LREAB
January 6, 2021 12:30 PM
The U.S. Supreme Court on Dec. 18 declined to intervene or issue a further stay of the administrative proceedings brought by the Federal Trade Commission against the Louisiana Real Estate Appraisers Board, making it the first case concerning real estate appraisers to reach the Supreme Court in almost 60 years.
In its complaint, the FTC alleges that certain LREAB regulatory actions regarding appraisal management company payments of reasonable and customary fees to appraisers are anti-competitive and in violation of the Sherman Antitrust Act.
The LREAB sought the stay on Dec. 9 as it pursues a writ of certiorari to the full Supreme Court, requesting a review of an adverse ruling handed down Oct. 2 by the U.S. Court of Appeals for the Fifth Circuit. Justice Samuel Alito, who is responsible for reviewing cases from the Fifth Circuit, declined the stay.
The Fifth Circuit’s decision on Oct. 2 lifted a stay of the administrative proceeding that was imposed by the U.S. District Court for the Middle District of Louisiana in July 2019. The stay was to remain in place while a suit filed by the LREAB against the FTC seeking to overturn several of its decisions in the administrative proceeding was litigated in the District Court. However, the FTC successfully appealed the ruling, and the Fifth Circuit ordered the stay be lifted and also dismissed the LREAB’s suit against the FTC, stating that the District Court lacked jurisdiction in the case.
While the LREAB may still pursue a writ of certiorari requesting that the Supreme Court review the Fifth Circuit’s order to lift the stay and to dismiss the LREAB’s suit, absent any further court intervention the FTC may move forward with the prosecution of its administrative complaint against the LREAB.
submitted by the LREAB to the Supreme Court in support of its request.
The Appraisal Institute is a global professional association of real estate appraisers, with over 17,000 professionals in almost 50 countries throughout the world. Its mission is to advance professionalism and ethics, global standards, methodologies, and practices through the professional development of property economics worldwide. Organized in 1932, the Appraisal Institute advocates equal opportunity and nondiscrimination in the appraisal profession and conducts its activities in accordance with applicable federal, state and local laws. Individuals of the Appraisal Institute benefit from an array of professional education and advocacy programs, and may hold the prestigious MAI, SRPA, SRA, AI-GRS and AI-RRS designations. Learn more at www.appraisalinstitute.org.