To whom may an appraiser disclose confidential assignment results without the client's authorization?
Correct Answer
B) Persons authorized by law, and duly authorized peer-review committees
Why this is correct: The Confidentiality section of the Ethics Rule permits disclosure without client consent to persons authorized by law (e.g., via subpoena) and to duly authorized peer-review committees, provided the reviewers also maintain confidentiality. These are specific, carved-out exceptions. Why the other choices are wrong: Disclosure to any licensed appraiser is not permitted. The listing agent is not an authorized party. Disclosure is allowed in the specified exceptions; it is not an absolute prohibition requiring a court order for all cases. Exam tip: Memorize the four exceptions: client's designees, due process of law, state enforcement bodies, and confidential peer review.
Why This Is the Correct Answer
Why this is correct: The Confidentiality section of the Ethics Rule permits disclosure without client consent to persons authorized by law (e.g., via subpoena) and to duly authorized peer-review committees, provided the reviewers also maintain confidentiality. These are specific, carved-out exceptions. Why the other choices are wrong: Disclosure to any licensed appraiser is not permitted. The listing agent is not an authorized party. Disclosure is allowed in the specified exceptions; it is not an absolute prohibition requiring a court order for all cases. Exam tip: Memorize the four exceptions: client's designees, due process of law, state enforcement bodies, and confidential peer review.
More USPAP Questions
Which type of appraisal report may contain the appraiser's analyses, opinions, and conclusions but is intended for use by the client only?
How long must an appraiser retain the workfile for an appraisal assignment under USPAP?
If an appraiser uses a hypothetical condition that the subject property is 10% larger than it actually is, this must be:
Under Standard 1, when developing a real property appraisal, an appraiser must:
An appraiser accepts an assignment to appraise a specialized industrial property but has never appraised this property type before. To comply with the Competency Rule, the appraiser:
According to the Scope of Work Rule, the scope of work must be appropriate to the:
According to Standard 1, when developing an opinion of market value, an appraiser must analyze:
A lender emails: 'We need at least $450,000 to make this loan work — can you take the assignment?' Accepting on that basis is:
An appraiser is developing an opinion of market value for a 20-unit apartment building. The appraiser finds three comparable sales with the following information: Sale 1: 18 units, sold for $1,800,000; Sale 2: 22 units, sold for $2,200,000; Sale 3: 24 units, sold for $2,280,000. What is the average price per unit for these comparables?
In developing a scope of work, an appraiser must consider all of the following factors EXCEPT:
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