An appraisal management company shall not:

(1) Require an appraiser to modify any aspect of an appraisal report unless the modification complies with § 62-39-419;

Terms Used In Tennessee Code 62-39-420

  • Appraisal: A determination of property value.
  • Appraisal: means the act or process of developing an opinion of value of identified real estate. See Tennessee Code 62-39-402
  • Appraisal report: means any communication, written or oral, of an opinion of value of identified real estate. See Tennessee Code 62-39-102
  • Appraiser: means an individual who holds a license under part 1 of this chapter. See Tennessee Code 62-39-402
  • Person: means a natural person or an entity, including a corporation, limited liability company, partnership, sole proprietorship, association, cooperative, estate, trust, or government unit. See Tennessee Code 62-39-402
  • Real estate: means an identified parcel or tract of land, including improvements, if any. See Tennessee Code 62-39-102
  • State: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Tennessee Code 1-3-105
  • USPAP: means the appraisal standards promulgated by the Appraisal Standards Board of the Appraisal Foundation. See Tennessee Code 62-39-402
(2) Require an appraiser to prepare an appraisal if the appraiser, in the appraiser’s own independent professional judgment, believes the appraiser does not have the necessary expertise for the assignment or for the specific geographic area and has notified the AMC and declined the assignment;
(3) Require an appraiser to prepare an appraisal under a time frame that the appraiser, in the appraiser’s own professional judgment, believes does not afford the appraiser the ability to meet all the relevant legal and professional obligations if the appraiser has notified the AMC and declined the assignment;
(4) Prohibit or inhibit legal or other allowable communication between the appraiser and:

(A) The lender;
(B) A real estate licensee; or
(C) Any other person from whom the appraiser, in the appraiser’s own professional judgment, believes information would be relevant;
(5) Knowingly require the appraiser to do anything that does not comply with:

(A) USPAP;
(B) The State Licensing and Certified Real Estate Appraisers Law, compiled in this chapter, or the rules promulgated thereunder; or
(C) Any assignment conditions and certifications required by the client; or
(6) Make any portion of the appraiser’s fee or the AMC’s fee contingent on a predetermined or favorable outcome, including but not limited to:

(A) A loan closing; or
(B) Specific dollar amount being achieved by the appraiser in the appraisal.
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