Appraisal management companies are affected by a new law enacted in the State of Oregon. The new law is titled HB 3624a and requires appraisal management companies to register and acquire a surety bond or letter of credit in the amount of $25,000. The surety bond would be conditioned on the payment of all sums that are to be paid to individuals executing real estate appraisal services for the business and all funds due originating from a judgment against the business for negligent or inappropriate real estate appraisal actions; including activity that causes a breach of its contracts. The surety company can terminate the surety bond with 30 days of written notification.
Eric is the Webmaster of JW Surety Bonds. With years of experience in the surety industry, he is also a contributing author to the surety bond blog.