What happens automatically when a law precludes compliance with a part of USPAP?

When a law exists that obstructs compliance with a specific aspect of USPAP, jurisdictional exclusion occurs. Jurisdictional exclusion is a concept within USPAP that allows an appraiser to exclude certain requirements of USPAP if those requirements conflict with applicable law or regulations. This means that when appraisers face situations where compliance with USPAP is impossible due to overriding legal constraints, this exclusion automatically excludes them from having to adhere to that particular USPAP standard.

This mechanism ensures that appraisers operate within the bounds of the law while still trying to comply with the overarching principles of USPAP where feasible. The existence of such a statutory conflict recognizes the priority of law over USPAP standards, and it is important for appraisers to be aware of these circumstances to maintain compliance with both legal and professional standards.