Question for the lawyers out there....

[Grace]

DH is a real estate appraiser. He did an appraisal for a guy who didn't like the outcome of the appraisal (claimed it wasn't high enough - the usual claim). The guy reported DH to the IL Dpt of Financial and Prof. Regulations, the agency that is in charge of his license. We believe this guy reported DH vindictively, since there is nothing wrong with the report. DH went way out of his way to try and be as accurate as possible - he even combed tax records for by-owner sales to try to prove the value the guy was claiming (very few appraisers do this - it's time consuming - most just stick to the listings on the multiple listing service). The guy tried to tell DH that a real estate agent told him the property was worth much more. DH asked him to produce the comparable sales that the agent was able to find to prove that and he'd be happy to look at them and use them if they were appropriate comparable sales (of course he could produce nothing). DH also offered to meet this person and go over the report with him and explain how he arrived at everything. The guy was NOT interested, got mad, kept saying, "what are you going to do to fix this?" DH kept saying, there is nothing to fix. The value is what it is. If you think you can sell your property for more, go ahead. An appraisal is not necessarily an indication of what every person would be willing to pay for a property - it's just a report about the values of similar properties in the area. That's it. An appraisal is supposed to report the facts only, as they are on that date, given the information that was available. The guy kept pressuring DH to somehow make the report reflect the value HE thought it was, DH refused, so the guy finally said, "well then I have to do what I have to do" and hung up. So today we get a certified letter from the IL Dept. of Fin. & Prof Regulations telling us there was a claim filed against us by this guy. Lovely.

If we want to sue this guy for harrassment and for filing a false report, would that be small claims court? Would we likely have a case? Would we have to prove damages?

The damage as we see it, is now every bank that we try to get as a new client makes you fill out an application to be one of their certified appraisers. One of the questions is "have you ever had a complaint filed against you?". By answering yes (which until now has always been a no), banks would potentially not accept us as a certified appraiser.

I can't believe people who are just disgruntled and vengeful have the power to possibly hinder our ability to do business in the future. It's crazy.

At this point we have to send in a report to the agency explaining our side of things, then there will be a ruling (I assume). I'm quite confident in DH's very excellent and above-board work, that there will be no action against him or his license, but just having to go through this to defend ourselves and to now be forced to answer "yes" to the "have you ever had a complaint filed against you" question for any new business we try to acquire (in addition to our E&O insurance which may lead to higher premiums) makes me want to teach these kinds of people a lesson.

Kind of like people who call Dept. of Children and Family Services to cause trouble for people they hate. I've seen Judge Judy hear cases about that, and if she thinks the people called DCFS vindictively, and for no real cause, she makes a judgement against them. I'm wondering if this is the same kind of thing.

Anyone know? Any words of wisdom? Anyone been there, done that?

[Robyn1007]

I can't give you any advice but wanted to send hugs. This kind of stuff stinks and it really angers me that people expect to get something for nothing (the other guy, not your DH). If your home isnt worth what you'd hope its not the appraisers fault! Geesh! Good luck getting it resolved.

[boisewinesnob]

Oh Grace that sucks!!!

My FIL was an appraiser for many years and now works for the county in the right of way dept. Next time I talk with him I'll ask if he's ever had anything like that happen to him and what he did. Or if he knows of colleagues who went through something similar and what they did to remedy the complaint.

What a jerk. Why doesn't he just get another appraisal? :rolleyes: :mad:

[Andrea_2]

Wow - that is awful! My dad is a lawyer that deals with real estate cases, but he is out of town right now. I'll check with him when he gets back to see if he has any advice.

I work with a pharmacist who had a customer file a complaint against him to the IDPR, but they took the pharmacist's side. It still was a huge hassle and caused him to lose a lot of sleep though!

[BucknellAlum]

I don't have too much to offer, but wouldn't an appraisal professional association have guidelines in these situations? Maybe their website would have articles or information on such situations.

I would think that every honest appraiser is going to be pressured at one time or another to up a value, and that those bankers (of which I am a former one) would be aware of those tactics.

And I would think that if the regulatory board finds in your favor, then perhaps they expunge the complaint from your record,making your worries about the bank questions moot.

Good luck to you!

[little_bopeep]

I can't offer much, except that I used to work for LandSafe (the appraisal management division of Countrywide Home Loans). All that guy had to do was A) get another independent appraisal or B) ask to have your DH's appraisal audited (a very common practice). There was absolutely no need to get the board involved at this stage of the game. Just have your DH make sure his report is as accurate as possible, and he will be found in the right.

That guy does, indeed, sound like one of those people who calls social services!

[Grace]

Thanks guys. I do believe he will be found in the right, and I have no idea about his record being expunged - I hope very much that's true.

This was a private appraisal, for a guy who wanted to sell his home by owner. He spent $500 (since it was for a 2 flat) on the appraisal, and apparently he didn't want to spend another $500 for another one. Since it wasn't for a bank, there is no bank to do any kind of internal audit.

I will check the professional association website for some ideas. Thanks for that good idea - I hadn't thought about it.

Again, I'm not worried too much about him being in trouble, what I'm curious to know is if I have grounds for a civil suit to punish this person who is purposely trying to ruin my DH's business and reputation out of spite.

[doggerham]

Well, in the case of complaints to the state bar, generallly the process is that if a complaint comes in, it is reviewed, and if there's a possible issue of professional misconduct, a letter goes out to the attorney. (If not, its dismissed then and there and classified as an "inquiry") The attorney in question then has an opportunity to respond to the complaint in writing, and the investigating attorney from the bar reviews everything, may talk to the parties, and makes a recommendation that it either is dismissed, or proceeds on to litigation -- either in court or before a bar panel.

Now, in the case of appraisers, I would guess there is some similar procedure that is handled by the state licensing board. I would read the certified letter very carefully, observe all deadlines, and check the licensing board's website for an explanation of the rules and procedures. Also make sure to review the applicable rules of professional conduct.

Remember that not every disagreement with an attorney involves professional misconduct. Just because an attorney loses a case or gives advice you disagree with or feel is wrong does not mean the attorney has violated a disciplinary rule. I would imagine the same would go for appraisers.

Personally, I feel that if a complaint is filed, investigated and dismissed, you can answer the question from future employers as "no" -- because after the investigation, there was no evidence to show any professional misconduct.

As for your second question -- yes, you do have to prove damages. In a civil suit, $$ is the remedy, so you have to show how what he did damaged you. And hurt feelings, embarrassment, etc aren't really enough. If you can show your husband did not get jobs due to this man, that is the type of injury you are looking for.

HTH.

[doggerham]

trying to ruin my DH's business and reputation out of spite.

Trying to ruin vs actually did ruin and cause harm is your issue.

[GingerPow]

Grace, most people are wonderful, then there are those that make me want to grab them by the collar and hurl them off of a cliff. (note to self: meditate later.)

My DH is a real estate broker and is currently being sued by a former client who is a sniveling ninny. Ninny's former partners told my DH and lawyer that they will be more than happy to testify on my DH's behalf if it comes to that.

My DH has been in this business for 30+ years and this is a first.

I'm sorry that your husband is going through cr@p like this. I'm sure that he has found, as has my DH that most people are pretty decent. Best of luck to him, I'll keep my fingers crossed that all goes well.