Clarocity Now Called Zaio Rips Off Appraisers
Clarocity changed back to Zaio…screwing over every outstanding appraiser payment…
Last week VaCAP shared information on Clarocity Corporation and how the main investor StableView Assets was seizing the shares and foreclosing on the working assets, which includes Clarocity Valuation Services. StableView in turn had an agreement to sell Clarocity Valuation Services to iLOOKABOUT. We warned to proceed with caution or do not proceed at all. We described the situation as a “soap opera.” We continue to monitor them and have learned many things. We debated on sharing this information with everyone, however we feel obligated to keep our members informed.
First of concern is the name Clarocity is no longer being used. It has been changed back to Zaio. This in itself raises a huge red flag as Zaio simply does not have a positive reputation among appraisers. Much is also learned by the investor comments on the Bullboard. Investors, who are also getting the short end of the stick, have uncovered some pretty concerning information and one investor has come right out and stated:
“What we have here is a significant MORAL HAZARD facing the CEO and Control Person. The presser clearly states that Stableview plans to seize the assets but leave behind the $7.53M in debt AND OTHER ACCOUNTS PAYABLE. Which translates into Colin screwing over every outstanding appraiser payment for which work has already been completed. I DONT KNOW HOW A SINGLE APPRAISER COULD ACCEPT AN ORDER FROM CLAROCITY WITH SUCH NOTIFICATION!”
There really is nothing else we can say. See the entire comment and others on the Stockhouse Bullboard here.
AMC being sued for Bifurcation! VaCAP was forwarded an article this afternoon by one of our members. The article from Foreclosurepedia is dated August 15, 2018 and concerns a class action lawsuit filed by property inspectors. ServiceLink Field Services, a division of ServiceLink is being sued for misclassifying employees.
From the complaint filed in the Superior Court of California, ServiceLink is being accused of not paying a minimum wage, not paying inspectors all wages owed, not providing inspectors timely paid rest periods and timely unpaid meal periods of sufficient length as required by law, not reimbursing inspectors for business related expenses, not paying inspectors additional pay for rest period and meal period violations as required by law, not providing inspectors with itemized wage statements, and not providing paid sick leave as required by law.
We expect to see more law suits like this forthcoming and as consumers learn of these practices, lenders will also be on the receiving end of lawsuits. See the article and court filing here.
North Dakota Responds to the ASC for more information on their appraisal waiver request. See the documents North Dakota sent to the ASC here or below.