324A.158 Prohibitions against certain conduct by registrants.
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/ky/chapter-324a/324a-158A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(1)An employee, director, officer, or agent of an appraisal management company or
any other third party acting as a joint venture partner with or as an independent
contractor for an appraisal management company shall not improperly influence or
attempt to improperly influence the development, reporting, result, or review of a
real estate appraisal, including but not limited to the use of intimidation, coercion,
extortion, bribery, blackmail, threat of nonpayment or withholding payment for
appraisal services, or threat of exclusion from future appraisal work.
(2)The registrant shall not:
(a)Request, allow, or require an appraiser to collect any portion of the fee
charged by the appraisal management company, including the appraisal fee,
from a borrower, homeowner, or other third party;
(b)Require an appraiser to provide the registrant with the appraiser's digital
signature or seal;
(c)Alter, amend, or change an appraisal report submitted by a licensed or
certified appraiser, by the following or any other actions:
1. Removing the appraiser's signature;
2. Adding or removing information to or from the appraisal report; or
3. Altering the final value opinion reported by an appraiser;
(d)Remove an appraiser from an appraiser panel without prior written notice to
the appraiser. An appraiser may only be removed from an appraiser panel with
written notice for:
1. A violation of the minimum USPAP standards or other applicable
statutes or administrative regulations resulting in a suspension or
revocation of the appraiser's license in Kentucky; or
2. Other substandard or otherwise improper performance as may be
determined by administrative regulations promulgated by the board;
(e)Enter into contracts or agreements with an appraiser for the performance of
appraisal services unless the appraiser is licensed or certified in good standing
with the board;
(f)Request that an appraiser provide an estimated, predetermined, or desired
valuation in an appraisal report or provide estimated values or comparable
sales at any time before the appraiser completes an appraisal report;
(g)Provide to an appraiser an anticipated, estimated, encouraged, or desired value
for a property or a proposed or target amount to be loaned or borrowed, except
that a copy of the sales contract for purchase transactions may be provided;
(h)Commit an act or practice that impairs or attempts to impair an appraiser's
independence, objectivity, or impartiality; or
(i)Have a direct or indirect interest, financial or otherwise, in the property or
transaction involving the appraisal.
(3)Subsection
(1)of this section shall not prohibit an appraisal management company from requesting that an appraiser:
(a)Provide additional information about the basis for a valuation;
(b)Correct objective factual errors in an appraisal report; or
(c)Provide further detail, substantiation, or explanation for the appraiser's value
conclusion.