Comments on: Court of Appeal New Ruling on Appraisal Fraud https://appraisersblogs.com/appraisal/a-new-ruling-on-appraisal-fraud-by-the-california-court-of-appeal/ Appraisal News and Tips for Real Estate Appraisers Wed, 28 Jul 2021 01:52:33 +0000 hourly 1 https://wordpress.org/?v=7.0 By: Michael Ford https://appraisersblogs.com/appraisal/a-new-ruling-on-appraisal-fraud-by-the-california-court-of-appeal/#comment-11166 Thu, 12 Jun 2014 17:25:07 +0000 http://appraisersblogs.com/?p=6279#comment-11166 Fourth paragraph may also have a limiting key to any perceived protections for us. That is ‘intended user’. I think it is a valid reminder to all of us to keep the stated identified users to a minimum. If the client only identifies their self as the intended user-even though we know there are others, we should avoid stating them.

Maybe even put a sunset clause in the report stating that holders in due course, including assignees may not rely on the stated conclusion for value on the effective date longer than one year after any loan originates as an outgrowth of the appraisal.

Another weak spot in the plaintiff’s case was the claimed cause of action. B of A with others CONSPIRED to create a market wide bubble to induce the guy to borrow? Pretty weak on the surface, I think.

In any event, yet another reminder that we need to be careful out there.

I’m still looking for appropriate language to put a time cap on how long my appraisal ‘may be relied on’ by subsequent users; and / or limiting any potential liability to the original client only.

]]>