The Jurisdictional Exception Rule applies when:
Correct Answer
D) Law or public policy precludes compliance with part of USPAP
Why this is correct: The Jurisdictional Exception Rule (USPAP) applies only when a specific law or public policy (e.g., a state statute or regulation) directly conflicts with a USPAP requirement. In that case, compliance with the conflicting part of USPAP is not required. The appraiser must disclose the exception in the report. Why the other choices are wrong: "A professional organization publishes conflicting guidance" is wrong because such guidance does not constitute law or public policy. "The client prefers a different methodology" is a scope of work decision, not a jurisdictional exception. "The assignment falls outside the appraiser's state" is wrong; USPAP applies regardless of location, though state laws also apply. Exam tip: Only a conflict with actual law or public policy triggers this rule. Always cite the specific conflicting authority in your report.
Why This Is the Correct Answer
Why this is correct: The Jurisdictional Exception Rule (USPAP) applies only when a specific law or public policy (e.g., a state statute or regulation) directly conflicts with a USPAP requirement. In that case, compliance with the conflicting part of USPAP is not required. The appraiser must disclose the exception in the report. Why the other choices are wrong: "A professional organization publishes conflicting guidance" is wrong because such guidance does not constitute law or public policy. "The client prefers a different methodology" is a scope of work decision, not a jurisdictional exception. "The assignment falls outside the appraiser's state" is wrong; USPAP applies regardless of location, though state laws also apply. Exam tip: Only a conflict with actual law or public policy triggers this rule. Always cite the specific conflicting authority in your report.
More USPAP Questions
Which statement best defines a hypothetical condition under USPAP?
According to the Competency Rule, if an appraiser lacks the knowledge and experience to complete an assignment competently, which action is NOT acceptable?
An appraiser runs only the sales comparison approach on a standard tract home and omits the cost and income approaches. Under Standard 1 this is:
A value opinion for a subdivision as if fully built out two years from now is what kind of assignment, and what does it require?
A hypothetical condition differs from an extraordinary assumption in that a hypothetical condition:
An appraiser must disclose in the certification whether they have:
A client-imposed requirement — 'use only comps from our approved list' — is best described as:
Under Standard 1, when developing a real property appraisal, an appraiser must:
The certification required by Standards Rule 2-3 must be signed by:
According to Standard 1, when developing an opinion of market value, an appraiser must analyze:
People Also Study
Real Estate Market
13.6% of exam
Property Description
11.8% of exam
Land or Site Valuation
4.5% of exam
Sales Comparison Approach
16.4% of exam
Cost Approach
13.6% of exam
Related Tools
Previous Question
An appraiser is asked to perform an assignment that requires knowledge of environmental contamination issues, which is outside their expertise. To achieve competency, the appraiser retains an environmental consultant. The appraiser must:
Next Question
An appraiser competent in single-family work accepts a small mixed-use building, associating with a commercial appraiser for the income analysis. The report must: