Wisconsin real estate licensees are currently subject to a six-year statute of limitations on litigation related to written contracts. 

This is important because licensees are inevitably named in many lawsuits related to transactions due to the perception that they have "deep pockets."

What's in play

Proposal: Shorter time frames for the statute of limitations for real estate licensee liability.

Introduced by: Rep. Scott Allen (R–Waukesha)

Background

• In recent years, the number of lawsuits filed against real estate brokers and companies has increased.
• The WRA is seeking legislation to create a two-year statute of limitations for claims against real estate licensees.
• This legislation recognizes that the more time that passes from the close of the transaction, the burden should be higher to prove the responsibility and knowledge on the parties.
• Other states have a statute of limitations on contract claims of three or fewer years: Alabama, Alaska, California, Colorado, Delaware, North Carolina and South Carolina.

Bill status

Currently in drafting.