KRS 324A.158: Prohibitions against certain conduct by registrants.

(1) An employee, director, officer, or agent of an appraisal management company or

any other third party acting as a joint venture partner with or as an independent

contractor for an appraisal management company shall not improperly influence or

attempt to imp roperly influence the development, reporting, result, or review of a

real property appraisal, including but not limited to the use of intimidation,

coercion, extortion, bribery, blackmail, threat of nonpayment or withholding

payment for appraisal services, or threat of exclusion from future appraisal work.

(2) The registrant shall not:

(a) Request, allow, or require an appraiser to collect any portion of the fee

charged by the appraisal management company, including the appraisal fee,

from a borrower, homeowner, or other third party;

(b) Require an appraiser to provide the registrant with the appraiser's digital

signature or seal;

(c) Alter, amend, or change an appraisal report submitted by a licensed or

certified appraiser, by the following or any other actions:

1. Removing the appraiser's signature;

2. Adding or removing information to or from the appraisal report; or

3. Altering the final value opinion reported by an appraiser;

(d) Remove an appraiser from an appraiser panel without prior written notice to

the appraiser. An appraiser may only be removed from an appraiser panel

with written notice for:

1. A violation of the minimum USPAP standards or other applicable

statutes or admin istrative regulations resulting in a suspension or

revocation of the appraiser's license in Kentucky; or

2. Other substandard or otherwise improper performance as may be

determined by administrative regulations promulgated by the board;

(e) Enter into cont racts or agreements with an appraiser for the performance of

appraisal services unless the appraiser is licensed or certified in good standing

with the board;

(f) Request that an appraiser provide an estimated, predetermined, or desired

valuation in an app raisal report or provide estimated values or comparable

sales at any time before the appraiser completes an appraisal report;

(g) Provide to an appraiser an anticipated, estimated, encouraged, or desired value

for a property or a proposed or target amount to be loaned or borrowed,

except that a copy of the sales contract for purchase transactions may be

provided;

(h) Commit an act or practice that impairs or attempts to impair an appraiser's

independence, objectivity, or impartiality; or

(i) Have a direct o r indirect interest, financial or otherwise, in the property or

transaction involving the appraisal.

(3) Subsection (1) of this section shall not prohibit an appraisal management company

from requesting that an appraiser:

(a) Provide additional information about the basis for a valuation;

(b) Correct objective factual errors in an appraisal report; or

(c) Provide further detail, substantiation, or explanation for the appraiser's value

conclusion.