2009 California Civil Code - Section 1090.5 :: Article 7. Unlawful Influence Of Appraisers

SECTION 1090.5

1090.5.  (a) No person with an interest in a real estate transaction
involving an appraisal shall improperly influence or attempt to
improperly influence, through coercion, extortion, or bribery, the
development, reporting, result, or review of a real estate appraisal
sought in connection with a mortgage loan. Prohibited acts include,
but are not limited to, the following:
   (1) Withholding or threatening to withhold timely payment for an
   (2) Withholding or threatening to withhold future business for an
independent appraiser, including removal from approved panels of
   (3) Expressly or impliedly promising future business, promotions,
or increased compensation for an independent appraiser.
   (4) Conditioning the request for an appraisal service or the
payment of an appraisal fee or salary or bonus on the opinion,
conclusion, or valuation in an appraisal report, or on a preliminary
estimate or opinion requested from an independent appraiser.
   (5) Requesting the payment of compensation to achieve higher
priority in the assignment of appraisal business.
   (6) Requesting that an appraiser provide an estimated,
predetermined, or desired valuation in an appraisal report, providing
to an appraiser an anticipated, estimated, encouraged, or desired
valuation in an appraisal report, or requesting that an appraiser
provide estimated values of comparable sales at any time before the
appraiser completes an appraisal report.
   (b) Subdivision (a) does not prohibit a person with an interest in
a real estate transaction from asking an appraiser to do any of the
   (1) Consider additional, appropriate property information.
   (2) Provide further detail, substantiation, or explanation for the
appraiser's value conclusion.
   (3) Correct errors in the appraisal report.
   (c) If a person who violates this section is licensed or
registered under any state licensing or registration law and the
violation occurs within the course and scope of the person's duties
as a licensee or registrant, the violation shall be deemed a
violation of that law.
   (d) Nothing in this section shall be construed to authorize
communications that are otherwise prohibited under existing law.

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